LDI Forecast


Bullish Case: LoanDepot (LDI) could rebound based on improved financial performance and successful cyber incident recovery, attracting new investors as market sentiment shifts positively.


Bearish Case: Ongoing cybersecurity concerns and potential legal repercussions may continue to erode customer trust and investor confidence, leading to further price declines in LDI shares.


Potential Outcomes:

1) Recovery from cyber issues (20%);

2) Prolonged bearish sentiment due to ongoing data breaches (35%);

3) Market stabilization leading to price recovery (30%);

4) Regulatory impacts causing further decline (15%).


Trading Oracle: Implement short put credit spreads for a bearish outlook, targeting the next month for expiration. With LDI hovering around $2.01 and low volatility, this strategy allows for generating premium while defining risk, optimizing entry points with potential for recovery.


July 24, 2024


LoanDepot Forecast

LDI      LoanDepot











Correlated Assets

Assets that tend to move strongly with LDI



ETRN Forecast + Options Trading Strategies   ETRN  Equitrans Midstream (0.36)


VFC Forecast + Options Trading Strategies   VFC  VF (0.06)


LI Forecast + Options Trading Strategies   LI  Li Auto (-0.03)


XLE Forecast + Options Trading Strategies   XLE  Energy Select Sector SPDR (-0.14)



Uncorrelated Assets

Assets with little price relationship to LDI



LI Forecast + Options Trading Strategies   LI  Li Auto (-0.03)


VFC Forecast + Options Trading Strategies   VFC  VF (0.06)


XLE Forecast + Options Trading Strategies   XLE  Energy Select Sector SPDR (-0.14)


ETRN Forecast + Options Trading Strategies   ETRN  Equitrans Midstream (0.36)



Anticorrelated Assets

Assets that tend to move strongly against LDI



ETRN Forecast + Options Trading Strategies   ETRN  Equitrans Midstream (0.36)


VFC Forecast + Options Trading Strategies   VFC  VF (0.06)


LI Forecast + Options Trading Strategies   LI  Li Auto (-0.03)


XLE Forecast + Options Trading Strategies   XLE  Energy Select Sector SPDR (-0.14)





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