SNA Forecast + Trading Strategies


Bullish Case: Strong long-term growth and a flat IV term structure suggest potential upside. A small positive AI forecast and healthier financials could drive demand.


Bearish Case: Insider selling, low recent trading volume, and mean-reverting historical price action raise concerns. Higher volatility in OTM strikes signals increased market uncertainty.


Potential Outcomes: 45% chance of price increase driven by strong fundamentals and historical growth. 35% chance of stagnation due to flat IV and low volume. 20% chance of decline due to insider selling.


Trading Oracle: Trade debit spreads. Strategy: Bullish long volatility. Buy SNA 09/20/24 $270 Call, Sell $280 Call. Capitalize on potential modest upside while limiting risk. High probability of profit due to favorable IV term structure and historical growth.


July 23, 2024


Snap-on Forecast

SNA      Snap-on











Correlated Assets

Assets that tend to move strongly with SNA



ETRN Forecast + Options Trading Strategies   ETRN  Equitrans Midstream (0.33)


LI Forecast + Options Trading Strategies   LI  Li Auto (-0.03)


VFC Forecast + Options Trading Strategies   VFC  VF (-0.07)


XLE Forecast + Options Trading Strategies   XLE  Energy Select Sector SPDR (-0.1)



Uncorrelated Assets

Assets with little price relationship to SNA



LI Forecast + Options Trading Strategies   LI  Li Auto (-0.03)


VFC Forecast + Options Trading Strategies   VFC  VF (-0.07)


XLE Forecast + Options Trading Strategies   XLE  Energy Select Sector SPDR (-0.1)


ETRN Forecast + Options Trading Strategies   ETRN  Equitrans Midstream (0.33)



Anticorrelated Assets

Assets that tend to move strongly against SNA



ETRN Forecast + Options Trading Strategies   ETRN  Equitrans Midstream (0.33)


LI Forecast + Options Trading Strategies   LI  Li Auto (-0.03)


VFC Forecast + Options Trading Strategies   VFC  VF (-0.07)


XLE Forecast + Options Trading Strategies   XLE  Energy Select Sector SPDR (-0.1)





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