Quantcha now offering unlimited commission-free options trading. Quantchabot has detected a promising Long Risk Reversal trade opportunity for NEXGEN ENERGY LTD (NXE) for the 18-Feb-2022 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine. NXE was recently trading at $5.22 and has an implied volatility of 87.78% for this period. Based on an analysis of the options available for NXE expiring on 18-Feb-2022, there is a 34.14% likelihood that the underlying will close within the analyzed range of $5.23-$7.10 at expiration. In this scenario, the average linear return for the trade would be 57.74%. Big 12.12% Change: After closing the last trading session at $4.66, NEXGEN ENERGY LTD opened today at $5.00 and has reached a high of $5.31. Trade approach: A movement as big as 12.12% is a significantly bullish indicator, so this trade is designed to be profitable if NXE maintains its current direction and does not revert back to pricing on the bearish side of $5.22 on 18-Feb-2022. 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 NEXGEN ENERGY LTD closes at or above $5.10 on 18-Feb-2022. Based on our risk-neutral analysis, there is a 53.17% 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.