Best Buy (BBY) Offering Possible 40.85% Return Over the Next 20 Calendar Days

This post was originally published on this site

Best Buy’s most recent trend suggests a bearish bias. One trading opportunity on Best Buy is a Bear Call Spread using a strike $114.00 short call and a strike $119.00 long call offers a potential 40.85% return on risk over the next 20 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $114.00 by expiration. The full premium credit of $1.45 would be kept by the premium seller. The risk of $3.55 would be incurred if the stock rose above the $119.00 long call strike price.

The 5-day moving average is moving down which suggests that the short-term momentum for Best Buy is bearish and the probability of a decline in share price is higher if the stock starts trending.

The 20-day moving average is moving down which suggests that the medium-term momentum for Best Buy is bearish.

The RSI indicator is at 61.63 level which suggests that the stock is neither overbought nor oversold at this time.

To learn how to execute such a strategy while accounting for risk and reward in the context of smart portfolio management, and see how to trade live with a successful professional trader, view more here

LATEST NEWS for Best Buy

GameStop ‘is just the symptom, not the disease’: Expert
Thu, 28 Jan 2021 18:56:23 +0000
Barry James, James Investment Research Portfolio Manager, joins Yahoo Finance’s Kristin Myers and Jared Blikre to break down the latest market action amid the short squeeze chaos.

Is Best Buy Co. (BBY) Outperforming Other Retail-Wholesale Stocks This Year?
Thu, 28 Jan 2021 16:30:04 +0000
Is (BBY) Outperforming Other Retail-Wholesale Stocks This Year?

Why GameStop is destined to become another Blockbuster video
Wed, 27 Jan 2021 22:12:43 +0000
GameStop. Who would have thought the most talked about stock on Wall Street in early 2021 would be a past-its-prime mall retailer? And yet here we are.

Is Best Buy (BBY) a Solid Growth Stock? 3 Reasons to Think ” Yes “
Wed, 27 Jan 2021 17:45:05 +0000
Best Buy (BBY) could produce exceptional returns because of its solid growth attributes.

Is Best Buy (BBY) Stock Undervalued Right Now?
Wed, 27 Jan 2021 16:50:04 +0000
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.

Be Sociable, Share!

Related Posts