RYI Forecast


Bullish Case: A recovery in RYI's price is likely as market sentiment improves, supported by historical mean reversion and strong long-term return prospects shown in the RYI return surface. Increased trading volume in call options highlights bullish sentiment.


Bearish Case: Despite bullish indicators, high implied volatility suggests significant uncertainty, with a 35% chance of further declines if bearish sentiment persists. The market may react negatively to macroeconomic pressures, risking RYI's price stability.


Potential Outcomes:

1) 35% chance of regaining above $25 due to mean reversion.

2) 50% likelihood of volatility near $19 as trading patterns stabilize.

3) 15% chance of declines below $19, influenced by bearish options activity.


Trading Oracle: Consider a bullish debit spread targeting RYI December 2024 $30.00 Calls, leveraging the high implied volatility for premium gains. This strategy provides a positive edge, capitalizing on a potential recovery with manageable risk and substantial upside.


July 25, 2024


Ryerson Forecast

RYI      Ryerson











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