Quantcha now offering unlimited commission-free options trading. Quantchabot has detected a promising Long Risk Reversal trade opportunity for MESOBLAST LIMITED AMERICAN DEPOSITARY SHARES (MESO) for the 21-May-2021 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine. MESO was recently trading at $7.94 and has an implied volatility of 103.36% for this period. Based on an analysis of the options available for MESO expiring on 21-May-2021, there is a 34.14% likelihood that the underlying will close within the analyzed range of $7.94-$10.19 at expiration. In this scenario, the average linear return for the trade would be 32.01%. Big 9.95% Change: After closing the last trading session at $7.22, MESOBLAST LIMITED AMERICAN DEPOSITARY SHARES opened today at $7.51 and has reached a high of $8.99. Trade approach: A movement as big as 9.95% is a significantly bullish indicator, so this trade is designed to be profitable if MESO maintains its current direction and does not revert back to pricing on the bearish side of $7.94 on 21-May-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 MESOBLAST LIMITED AMERICAN DEPOSITARY SHARES closes at or above $7.10 on 21-May-2021. Based on our risk-neutral analysis, there is a 67.26% 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.