WRAP Forecast


Bullish Case: WRAP's recent price increase by 12.8% over the past week, combined with a bullish AI price forecast (+1.97%), suggests upward momentum. Implied volatility remains high, potentially signaling significant price movement, likely upwards.


Bearish Case: High implied volatility and flat term structure indicate market skepticism. Historical return surface shows negative bias for short holding periods, suggesting a potential for near-term losses. Ongoing economic uncertainty could further dampen WRAP's prospects.


Potential Outcomes:

1. Continued volatility, with potential sharp price movements (45%).

2. Gradual decline due to market skepticism and economic uncertainty (35%).

3. Short-term consolidation followed by upward movement (20%).


Trading Oracle: Implement a bear call spread targeting WRAP's $2 strike for Sept 2024. This aligns with the bearish-neutral outlook, leveraging high IV, while mitigating downside risk. The setup offers a high reward-to-risk ratio and positive edge, ensuring a prudent and profitable trade.


June 27, 2024


Wrap Forecast

WRAP      Wrap











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DV Forecast + Options Trading Strategies   DV  DoubleVerify (0.74)


ARCB Forecast + Options Trading Strategies   ARCB  ArcBest (0.74)



Uncorrelated Assets

Assets with little price relationship to WRAP



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


HCA Forecast + Options Trading Strategies   HCA  HCA Healthcare (0.0)


ADMA Forecast + Options Trading Strategies   ADMA  Adma Biologics (0.0)


RY Forecast + Options Trading Strategies   RY  Royal Bank Of Canada (0.0)


HTZ Forecast + Options Trading Strategies   HTZ  Hertz Global Holdings (-0.0)



Anticorrelated Assets

Assets that tend to move strongly against WRAP



ST Forecast + Options Trading Strategies   ST  Sensata (-0.67)


CTRA Forecast + Options Trading Strategies   CTRA  Coterra Energy (-0.67)


MCHI Forecast + Options Trading Strategies   MCHI  BTC iShares MSCI China (-0.7)


CRK Forecast + Options Trading Strategies   CRK  Comstock Resources (-0.73)


FNV Forecast + Options Trading Strategies   FNV  Franco-Nevada (-0.75)





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