PPC Forecast + Trading Strategies


Bullish Case: PPC's steady term structure and historical returns indicate potential stability and growth, while ongoing institutional interest and recent investments signal confidence in the stock.


Bearish Case: Increased leverage, reduced holdings by key investors, and recent legal issues introduce significant downside risk, coupled with a potential for stagnation indicated by flat volatility surfaces.


Potential Outcomes: 50% chance of price rise supported by stable term structure, positive returns, and bullish sentiment; 40% chance of decline due to leverage and legal risks; 10% chance of stable movement reflecting flat term structure.


Trading Oracle: Opt for a bullish short volatility trade: sell 2 $39.0 put options, buy 3 $37.0 put options expiring in ~28 days. This reflects positive edge, favorable Helium odds, and profitable short volatility prospects with high probability of profit at 76%.


July 23, 2024


Pilgrim's Pride Forecast

PPC      Pilgrim's Pride











Correlated Assets

Assets that tend to move strongly with PPC



ETRN Forecast + Options Trading Strategies   ETRN  Equitrans Midstream (0.89)


XLE Forecast + Options Trading Strategies   XLE  Energy Select Sector SPDR (0.44)


LI Forecast + Options Trading Strategies   LI  Li Auto (-0.74)


VFC Forecast + Options Trading Strategies   VFC  VF (-0.77)



Uncorrelated Assets

Assets with little price relationship to PPC



XLE Forecast + Options Trading Strategies   XLE  Energy Select Sector SPDR (0.44)


LI Forecast + Options Trading Strategies   LI  Li Auto (-0.74)


VFC Forecast + Options Trading Strategies   VFC  VF (-0.77)


ETRN Forecast + Options Trading Strategies   ETRN  Equitrans Midstream (0.89)



Anticorrelated Assets

Assets that tend to move strongly against PPC



ETRN Forecast + Options Trading Strategies   ETRN  Equitrans Midstream (0.89)


XLE Forecast + Options Trading Strategies   XLE  Energy Select Sector SPDR (0.44)


LI Forecast + Options Trading Strategies   LI  Li Auto (-0.74)


VFC Forecast + Options Trading Strategies   VFC  VF (-0.77)





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