Price Forecast:

Bullish Case: Strong historical performance and positive AI forecasts indicate potential for continued price growth, especially if upcoming earnings surpass expectations. High implied volatility supports bullish options strategies.

Bearish Case: Recent insider selling and heightened market uncertainty may trigger downward price pressure. Additionally, excessive put volume suggests bearish sentiment, highlighting risks of potential price declines.

Potential Outcomes:

1. 30% chance of price appreciation if earnings exceed expectations;

2. 40% chance of price stability due to mixed signals;

3. 30% potential for price decline linked to ongoing insider selling.

Trading Oracle: Implement a bullish long debit spread by buying the $150 Calls and selling the $155 Calls, targeting expiration around mid-November. Implied volatility is elevated, giving this strategy a favorable risk-reward profile. Monitor for any significant market news that could shift sentiment rapidly.

October 27, 2024