ALTO Forecast + Trading Strategies


Bullish Case: The $100M investment in AALTO by NTT DOCOMO could enhance ALTO's visibility, linking it to high-growth sectors like 5G and earth observation [thefastmode.com]. Positive phase 2 trials for ALTO-101 might also boost the stock [Yahoo].


Bearish Case: ALTO's flat price action and high implied volatility [Helium, Helium] indicate market uncertainty. Historical returns suggest a likelihood of negative returns over short holding periods [paloaltoonline.com], intensified by potential economic slowdowns.


Potential Outcomes:

1. Successful investment in AALTO expands ALTO's market cap (60%).

2. ALTO-101 Phase 2 success (40%).

3. General market downturn impacts ALTO adversely (50%).

4. High volatility affects short-term options pricing (65%).

5. Prolonged flat price action (50%).


Trading Oracle: Given market uncertainty and high volatility, execute a debit spread for a bullish stance. Buy the ALTO 01/17/2025 2.00C and sell the ALTO 01/17/2025 5.00C. This strategy has a positive risk-reward ratio, leveraging potential bullish catalysts over the next 6-12 months.


June 24, 2024


Alto Ingredients Forecast

ALTO      Alto Ingredients











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APA Forecast + Options Trading Strategies   APA  Apache (0.88)


TECS Forecast + Options Trading Strategies   TECS  Direxion Daily Technology Bear 3X Shares (0.88)



Uncorrelated Assets

Assets with little price relationship to ALTO



WYNN Forecast + Options Trading Strategies   WYNN  Wynn Resorts (0.0)


LNTH Forecast + Options Trading Strategies   LNTH  Lantheus (0.0)


XRX Forecast + Options Trading Strategies   XRX  Xerox (0.0)


WGO Forecast + Options Trading Strategies   WGO  Winnebago Industries (-0.0)


ZBH Forecast + Options Trading Strategies   ZBH  Zimmer Biomet (-0.0)



Anticorrelated Assets

Assets that tend to move strongly against ALTO



SMH Forecast + Options Trading Strategies   SMH  VanEck Vectors Semiconductor (-0.89)


OSCR Forecast + Options Trading Strategies   OSCR  Oscar Health (-0.89)


GDDY Forecast + Options Trading Strategies   GDDY  Godaddy (-0.89)


TT Forecast + Options Trading Strategies   TT  Trane (-0.9)


TME Forecast + Options Trading Strategies   TME  Tencent Music Entertainment Group - (-0.91)





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