CHCI Forecast


Bullish Case: CHCI's mean-reverting behavior and potential upcoming legislative boosts in the mental health sector could drive significant price appreciation.


Bearish Case: Persistent challenges in the natural gas sector and potential legal setbacks continue to erode CHCI's financial stability and investor confidence.


Potential Outcomes:

1. (60%) Capture mental health market: Legislative boosts and strategic partnerships drive expansion.

2. (30%) Ongoing energy sector slump: Weak natural gas prices and operational inefficiencies persist.

3. (10%) Acquisition opportunity: Larger firm sees value in CHCI's mental health initiatives.


Trading Oracle: Given CHCI's mean-reverting nature and the mixed sectoral outlook, deploy a cautious bullish debit spread. Target a 6-month outlook for modest gains, leveraging mean reversion and potential legislative boosts. Prioritize high gamma options to capitalize on expected volatility without excessive risk.


July 21, 2024


Comstock Forecast

CHCI      Comstock











Correlated Assets

Assets that tend to move strongly with CHCI



ETRN Forecast + Options Trading Strategies   ETRN  Equitrans Midstream (0.83)


XLE Forecast + Options Trading Strategies   XLE  Energy Select Sector SPDR (0.57)


LI Forecast + Options Trading Strategies   LI  Li Auto (-0.75)


VFC Forecast + Options Trading Strategies   VFC  VF (-0.75)



Uncorrelated Assets

Assets with little price relationship to CHCI



XLE Forecast + Options Trading Strategies   XLE  Energy Select Sector SPDR (0.57)


VFC Forecast + Options Trading Strategies   VFC  VF (-0.75)


LI Forecast + Options Trading Strategies   LI  Li Auto (-0.75)


ETRN Forecast + Options Trading Strategies   ETRN  Equitrans Midstream (0.83)



Anticorrelated Assets

Assets that tend to move strongly against CHCI



ETRN Forecast + Options Trading Strategies   ETRN  Equitrans Midstream (0.83)


XLE Forecast + Options Trading Strategies   XLE  Energy Select Sector SPDR (0.57)


LI Forecast + Options Trading Strategies   LI  Li Auto (-0.75)


VFC Forecast + Options Trading Strategies   VFC  VF (-0.75)





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