Quantcha now offering unlimited commission-free options trading. Quantchabot has detected a promising Short Risk Reversal trade opportunity for ADVERUM BIOTECHNOLOGIES INC. COMMON STOCK (ADVM) for the 21-May-2021 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine. ADVM was recently trading at $8.65 and has an implied volatility of 70.27% for this period. Based on an analysis of the options available for ADVM expiring on 21-May-2021, there is a 34.14% likelihood that the underlying will close within the analyzed range of $6.95-$8.65 at expiration. In this scenario, the average linear return for the trade would be 25.91%. Big -7.98% Change: After closing the last trading session at $9.40, ADVERUM BIOTECHNOLOGIES INC. COMMON STOCK opened today at $9.38 and has reached a low of $8.64. Trade approach: A movement as big as -7.98% is a significantly bearish indicator, so this trade is designed to be profitable if ADVM maintains its current direction and does not revert back to pricing on the bullish side of $8.65 on 21-May-2021. 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 ADVERUM BIOTECHNOLOGIES INC. COMMON STOCK closes at or below $10.25 on 21-May-2021. Based on our risk-neutral analysis, there is a 78.11% 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.