Quantcha now offering unlimited commission-free options trading. Quantchabot has detected a promising Long Risk Reversal trade opportunity for VIRGIN GALACTIC HOLDINGS INC (SPCE) for the 25-Feb-2022 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine. SPCE was recently trading at $12.64 and has an implied volatility of 99.25% for this period. Based on an analysis of the options available for SPCE expiring on 25-Feb-2022, there is a 34.14% likelihood that the underlying will close within the analyzed range of $12.64-$18.20 at expiration. In this scenario, the average linear return for the trade would be 85.03%. Big 7.30% Change: After closing the last trading session at $11.78, VIRGIN GALACTIC HOLDINGS INC opened today at $12.00 and has reached a high of $12.80. Trade approach: A movement as big as 7.30% is a significantly bullish indicator, so this trade is designed to be profitable if SPCE maintains its current direction and does not revert back to pricing on the bearish side of $12.64 on 25-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 VIRGIN GALACTIC HOLDINGS INC closes at or above $12.44 on 25-Feb-2022. Based on our risk-neutral analysis, there is a 51.75% 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.