Quantcha now offering unlimited commission-free options trading. Quantchabot has detected a promising Long Risk Reversal trade opportunity for KENSIGNTON CAPITAL ACQUISITION CORP (QS) for the 29-Jan-2021 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine. QS was recently trading at $55.73 and has an implied volatility of 177.33% for this period. Based on an analysis of the options available for QS expiring on 29-Jan-2021, there is a 34.14% likelihood that the underlying will close within the analyzed range of $55.74-$88.12 at expiration. In this scenario, the average linear return for the trade would be 135.41%. Big 11.56% Change: After closing the last trading session at $49.96, KENSIGNTON CAPITAL ACQUISITION CORP opened today at $48.81 and has reached a high of $57.77. Trade approach: A movement as big as 11.56% is a significantly bullish indicator, so this trade is designed to be profitable if QS maintains its current direction and does not revert back to pricing on the bearish side of $55.73 on 29-Jan-2021. If possible, the trade has been padded such that slight movement against the trade would still return a profit. Upside potential: Using this bullish strategy, the trade would be profitable if KENSIGNTON CAPITAL ACQUISITION CORP closes at or above $53.10 on 29-Jan-2021. Based on our risk-neutral analysis, there is a 54.22% likelihood of this return. Downside risk: As with any options trade, there is a substantial downside risk where you may lose most or all of your investment. To analyze this trade in depth, please visit the Quantcha Options Search Engine.