Quantcha now offering unlimited commission-free options trading. Quantchabot has detected a promising Bull Put Spread trade opportunity for VALE (VALE) for the 17-Jul-2020 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine. VALE was recently trading at $8.91 and has an implied volatility of 51.03% for this period. Based on an analysis of the options available for VALE expiring on 17-Jul-2020, there is a 34.13% likelihood that the underlying will close within the analyzed range of $8.91-$10.97 at expiration. In this scenario, the average linear return for the trade would be 60.81%. Big 7.74% Change: After closing the last trading session at $8.27, VALE opened today at $8.94 and has reached a high of $9.03. Trade approach: A movement as big as 7.74% is a significantly bullish indicator, so this trade is designed to be profitable if VALE maintains its current direction and does not revert back to pricing on the bearish side of $8.91 on 17-Jul-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 VALE closes at or above $8.62 on 17-Jul-2020. Based on our risk-neutral analysis, there is a 56.40% 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.