Quantcha now offering unlimited commission-free options trading. Quantchabot has detected a promising Bull Call Spread trade opportunity for ALLIANCE DATA SYSTEMS (ADS) for the 26-Mar-2021 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine. ADS was recently trading at $81.25 and has an implied volatility of 58.85% for this period. Based on an analysis of the options available for ADS expiring on 26-Mar-2021, there is a 34.13% likelihood that the underlying will close within the analyzed range of $81.05-$100.83 at expiration. In this scenario, the average linear return for the trade would be 27.91%. Big 8.08% Change: After closing the last trading session at $75.17, ALLIANCE DATA SYSTEMS opened today at $75.78 and has reached a high of $81.46. Trade approach: A movement as big as 8.08% is a significantly bullish indicator, so this trade is designed to be profitable if ADS maintains its current direction and does not revert back to pricing on the bearish side of $81.25 on 26-Mar-2021. 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 ALLIANCE DATA SYSTEMS closes at or above $77.60 on 26-Mar-2021. Based on our risk-neutral analysis, there is a 57.89% 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.