AI SABR Forecast + Trading Strategies


Bullish Case: SABR implies a bullish trend due to declining market implied volatility and increasing trading volume in call options, suggesting a potential recovery from current lows.


Bearish Case: High implied volatility and persistent downward pressure in historical returns indicate a risk of continued price declines, driven by market uncertainties and execution issues.


Potential Outcomes:

1. Potential recovery to $4.00 (25%);

2. Sustained volatility leading to a drop below $2.50 (35%);

3. Stabilization at current levels due to market sentiment (40%).


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August 21, 2024










Correlated Assets

Assets that tend to move strongly with SABR



MANU Forecast + Options Trading Strategies   MANU  Manchester United Plc. (0.93)


AUPH Forecast + Options Trading Strategies   AUPH  Aurinia Pharmaceuticals (0.87)


ATSG Forecast + Options Trading Strategies   ATSG  Air Transport Services (0.86)


IRDM Forecast + Options Trading Strategies   IRDM  Iridium Communications (0.85)


NOVA Forecast + Options Trading Strategies   NOVA  Sunnova Energy International (0.85)



Uncorrelated Assets

Assets with little price relationship to SABR



MAA Forecast + Options Trading Strategies   MAA  Mid-America Apartment Communities (-0.0)


VOYA Forecast + Options Trading Strategies   VOYA  Voya Financial (0.0)


DK Forecast + Options Trading Strategies   DK  Delek US (0.0)


BUD Forecast + Options Trading Strategies   BUD  Anheuser-Busch (0.01)


GTLB Forecast + Options Trading Strategies   GTLB  Gitlab (-0.01)



Anticorrelated Assets

Assets that tend to move strongly against SABR



SWBI Forecast + Options Trading Strategies   SWBI  Smith & Wesson Brands (-0.79)


LIN Forecast + Options Trading Strategies   LIN  Linde (-0.8)


BWXT Forecast + Options Trading Strategies   BWXT  BWX (-0.8)


BYRN Forecast + Options Trading Strategies   BYRN  Byrna (-0.82)


CPRT Forecast + Options Trading Strategies   CPRT  Copart (-0.83)





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