LIT Forecast + Trading Strategies



Bearish<—>Bullish



80% Confidence




Bullish Case: LIT demand is poised to rise with increasing EV and battery tech adoption. Implied volatility suggests market agrees with a potential upside as optimistic sentiment persists.




Bearish Case: Rising lithium supply and technological shifts could lead to oversupply, pressuring LIT prices. High volatility highlights market uncertainty and risk of rapid declines.




Potential Outcomes:

1. EV market surge boosts LIT (45% probability).
2. Supply growth pressures prices (35%).
3. Tech advancements lead to alternative solutions (20%).




Trading Oracle: Bullish Long Volatility is ideal due to elevated implied volatility and potential for large upside moves. Buying OOTM calls and selling fewer further options capitalizes on potential swings.



April 23, 2025


Global X Lithium & Battery Tech Forecast

LIT        Global X Lithium & Battery Tech











Correlated Assets

Assets that tend to move strongly with LIT



LYFT Forecast + Options Trading Strategies   LYFT  Lyft (0.81)


LAC Forecast + Options Trading Strategies   LAC  Lithium Americas (0.79)


AA Forecast + Options Trading Strategies   AA  Alcoa (0.76)


STLD Forecast + Options Trading Strategies   STLD  Steel Dynamics (0.73)


HBM Forecast + Options Trading Strategies   HBM  Hudbay Minerals (0.72)



Uncorrelated Assets

Assets with little price relationship to LIT



FNF Forecast + Options Trading Strategies   FNF  Fidelity National Financial (-0.0)


UBER Forecast + Options Trading Strategies   UBER  Uber (0.0)


CALM Forecast + Options Trading Strategies   CALM  Cal-Maine Foods (-0.0)


PHG Forecast + Options Trading Strategies   PHG  Koninklijke Philips (-0.0)


IAS Forecast + Options Trading Strategies   IAS  Integral Ad Science (-0.02)



Anticorrelated Assets

Assets that tend to move strongly against LIT



XLV Forecast + Options Trading Strategies   XLV  Health Care Select Sector SPDR (-0.28)


PLD Forecast + Options Trading Strategies   PLD  Prologis (-0.35)


VIXY Forecast + Options Trading Strategies   VIXY  ProShares VIX Short-Term Futures (-0.35)


UDN Forecast + Options Trading Strategies   UDN  Invesco DB US Dollar Index Bearish (-0.39)


KO Forecast + Options Trading Strategies   KO  Coca-Cola (-0.52)









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