Quantcha now offering unlimited commission-free options trading. Quantchabot has detected a promising Long Risk Reversal trade opportunity for METHODE ELECTRONICS (MEI) for the 20-Nov-2020 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine. MEI was recently trading at $27.73 and has an implied volatility of 43.73% for this period. Based on an analysis of the options available for MEI expiring on 20-Nov-2020, there is a 34.13% likelihood that the underlying will close within the analyzed range of $27.63-$32.85 at expiration. In this scenario, the average linear return for the trade would be 34.22%. Big 15.59% Change: After closing the last trading session at $23.99, METHODE ELECTRONICS opened today at $26.22 and has reached a high of $27.75. Trade approach: A movement as big as 15.59% is a significantly bullish indicator, so this trade is designed to be profitable if MEI maintains its current direction and does not revert back to pricing on the bearish side of $27.73 on 20-Nov-2020. 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 METHODE ELECTRONICS closes at or above $27.30 on 20-Nov-2020. Based on our risk-neutral analysis, there is a 52.73% 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.