Quantcha now offering unlimited commission-free options trading. Quantchabot has detected a promising Bull Call Spread trade opportunity for MP MATERIALS CORP (MP) for the 19-Feb-2021 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine. MP was recently trading at $42.48 and has an implied volatility of 90.39% for this period. Based on an analysis of the options available for MP expiring on 19-Feb-2021, there is a 34.15% likelihood that the underlying will close within the analyzed range of $42.48-$44.76 at expiration. In this scenario, the average linear return for the trade would be 16.67%. 52 week high: MP MATERIALS CORP recently reached a new 52-week high at $43.74. MP had traded in the range $9.78-$41.74 over the past year. Trade approach: Reaching a new 52-week high is a bullish indicator, so this trade is designed to be profitable if MP maintains its current direction and does not revert back to pricing on the bearish side of $42.48 on 19-Feb-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 MP MATERIALS CORP closes at or above $42.30 on 19-Feb-2021. Based on our risk-neutral analysis, there is a 53.24% 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.