Quantcha now offering unlimited commission-free options trading. Quantchabot has detected a promising Short Risk Reversal trade opportunity for SNAP INC (SNAP) for the 21-Jan-2022 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine. SNAP was recently trading at $58.02 and has an implied volatility of 51.13% for this period. Based on an analysis of the options available for SNAP expiring on 21-Jan-2022, there is a 34.13% likelihood that the underlying will close within the analyzed range of $44.94-$58.04 at expiration. In this scenario, the average linear return for the trade would be 65.96%. Big -22.75% Change: After closing the last trading session at $75.11, SNAP INC opened today at $58.75 and has reached a low of $57.45. Trade approach: A movement as big as -22.75% is a significantly bearish indicator, so this trade is designed to be profitable if SNAP maintains its current direction and does not revert back to pricing on the bullish side of $58.02 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 SNAP INC closes at or below $60.29 on 21-Jan-2022. Based on our risk-neutral analysis, there is a 55.90% 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.