Quantcha now offering unlimited commission-free options trading. Quantchabot has detected a promising Bear Call Spread trade opportunity for AUTOHOME INC (ATHM) for the 16-Jul-2021 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine. ATHM was recently trading at $62.25 and has an implied volatility of 38.35% for this period. Based on an analysis of the options available for ATHM expiring on 16-Jul-2021, there is a 34.14% likelihood that the underlying will close within the analyzed range of $57.70-$62.25 at expiration. In this scenario, the average linear return for the trade would be 23.30%. 52 week low: AUTOHOME INC recently reached a new 52-week low at $61.34. ATHM had traded in the range $61.38-$147.67 over the past year. Trade approach: Reaching a new 52-week low is a bearish indicator, so this trade is designed to be profitable if ATHM maintains its current direction and does not revert back to pricing on the bullish side of $62.25 on 16-Jul-2021. If possible, the trade has been padded such that slight movement against the trade would still return a profit. Upside potential: Using this bearish strategy, the trade would be profitable if AUTOHOME INC closes at or below $62.40 on 16-Jul-2021. Based on our risk-neutral analysis, there is a 51.24% 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.