The automated Quantcha Trade Ideas Service has detected a promising Bull Put Spread trade opportunity for WEIGHT WATCHERS INTL (WTW) for the 17-Nov-2017 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

WTW was recently trading at $52.80 and has an implied volatility of 50.21% for this period. Based on an analysis of the options available for WTW expiring on 17-Nov-2017, there is a 35.13% likelihood that the underlying will close within the analyzed range of $52.87-$57.63 at expiration. In this scenario, the average linear return for the trade would be 27.36%.

Trending on StockTwits: StockTwits® is a financial communications platform for the financial and investing community. On their site, WEIGHT WATCHERS INTL was recently trending, indicating that breaking news and/or market activity has significantly impacted sentiment toward the stock. This movement can be interpretted as a sign of more near-term price movement for the underlying.

Trade approach: The recent sentiment change in WTW on StockTwits appears to be significantly positive, indicating that the stock is likely to follow in that direction for investors trading on sentiment. As a result, a bullish strategy could prove effective if the sentiment ultimately turns out to drive trading.

Upside potential: Using this bullish strategy, the trade would be profitable if WEIGHT WATCHERS INTL closed at or above $52.15 on 17-Nov-2017. Based on our analysis, there is a 57.40% 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.