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Quantchabot has detected a promising Bull Put Spread trade opportunity for UPWORK INC. COMMON STOCK (UPWK) for the 15-Jan-2021 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

UPWK was recently trading at $35.52 and has an implied volatility of 77.54% for this period. Based on an analysis of the options available for UPWK expiring on 15-Jan-2021, there is a 34.14% likelihood that the underlying will close within the analyzed range of $35.53-$45.67 at expiration. In this scenario, the average linear return for the trade would be 76.57%.

Big 8.01% Change: After closing the last trading session at $32.89, UPWORK INC. COMMON STOCK opened today at $33.07 and has reached a high of $35.80.

Trade approach: A movement as big as 8.01% is a significantly bullish indicator, so this trade is designed to be profitable if UPWK maintains its current direction and does not revert back to pricing on the bearish side of $35.52 on 15-Jan-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 UPWORK INC. COMMON STOCK closes at or above $34.95 on 15-Jan-2021. Based on our risk-neutral analysis, there is a 52.61% 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.