Quantcha now offering unlimited commission-free options trading. Quantchabot has detected a promising Short Risk Reversal trade opportunity for DIGITAL OCEAN HOLDINGS INC (DOCN) for the 21-Jan-2022 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine. DOCN was recently trading at $115.56 and has an implied volatility of 71.34% for this period. Based on an analysis of the options available for DOCN expiring on 21-Jan-2022, there is a 34.14% likelihood that the underlying will close within the analyzed range of $86.47-$115.58 at expiration. In this scenario, the average linear return for the trade would be 50.07%. Big -10.09% Change: After closing the last trading session at $128.53, DIGITAL OCEAN HOLDINGS INC opened today at $124.84 and has reached a low of $114.30. Trade approach: A movement as big as -10.09% is a significantly bearish indicator, so this trade is designed to be profitable if DOCN maintains its current direction and does not revert back to pricing on the bullish side of $115.56 on 21-Jan-2022. 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 DIGITAL OCEAN HOLDINGS INC closes at or below $117.40 on 21-Jan-2022. Based on our risk-neutral analysis, there is a 52.15% 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.