SLP Forecast


Bullish Case: SLP could benefit from upcoming positive earnings reports and strong historical returns, particularly with favorable market conditions indicated by low implied volatility over the next few months.


Bearish Case: Pressure from recent negative earnings outlooks and high volatility might lead SLP to decline further, especially if broader market trends turn sour or if any release disappoints investors.


Potential Outcomes:

1. 50% chance of stabilizing around $40 due to market healing.

2. 30% chance of dipping to $36 amidst ongoing volatility.

3. 20% chance of bouncing to $45 if earnings exceed expectations.


Trading Oracle: Consider initiating a bullish debit spread, targeting $40-$45 calls expiring in August. With strong historical returns and volatilities peaking around key dates, a $40-$42 spread captures upside while minimizing risk.


July 25, 2024


Simulations Plus Forecast

SLP      Simulations Plus











Correlated Assets

Assets that tend to move strongly with SLP



ETRN Forecast + Options Trading Strategies   ETRN  Equitrans Midstream (0.54)


XLE Forecast + Options Trading Strategies   XLE  Energy Select Sector SPDR (0.54)


LI Forecast + Options Trading Strategies   LI  Li Auto (-0.17)


VFC Forecast + Options Trading Strategies   VFC  VF (-0.2)



Uncorrelated Assets

Assets with little price relationship to SLP



LI Forecast + Options Trading Strategies   LI  Li Auto (-0.17)


VFC Forecast + Options Trading Strategies   VFC  VF (-0.2)


XLE Forecast + Options Trading Strategies   XLE  Energy Select Sector SPDR (0.54)


ETRN Forecast + Options Trading Strategies   ETRN  Equitrans Midstream (0.54)



Anticorrelated Assets

Assets that tend to move strongly against SLP



ETRN Forecast + Options Trading Strategies   ETRN  Equitrans Midstream (0.54)


XLE Forecast + Options Trading Strategies   XLE  Energy Select Sector SPDR (0.54)


LI Forecast + Options Trading Strategies   LI  Li Auto (-0.17)


VFC Forecast + Options Trading Strategies   VFC  VF (-0.2)





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