Quantcha now offering unlimited commission-free options trading.

Quantchabot has detected a promising Bull Call Spread trade opportunity for NETFLIX (NFLX) for the 17-Apr-2020 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

NFLX was recently trading at $361.76 and has an implied volatility of 48.98% for this period. Based on an analysis of the options available for NFLX expiring on 17-Apr-2020, there is a 28.11% likelihood that the underlying will close within the analyzed range of $366.66-$394.63 at expiration. In this scenario, the average linear return for the trade would be 54.20%.

Trending on StockTwits: StockTwits® is a financial communications platform for the financial and investing community. On their site, NETFLIX 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 NFLX on StockTwits appears to be moderately 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 NETFLIX closed at or above $366.10 on 17-Apr-2020. Based on our analysis, there is a 44.67% 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.