IBM (IBM) Offering Possible 14.16% Return Over the Next 9 Calendar Days

This article was originally published on this site

IBM’s most recent trend suggests a bearish bias. One trading opportunity on IBM is a Bear Call Spread using a strike $145.00 short call and a strike $150.00 long call offers a potential 14.16% return on risk over the next 9 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $145.00 by expiration. The full premium credit of $0.62 would be kept by the premium seller. The risk of $4.38 would be incurred if the stock rose above the $150.00 long call strike price.

The 5-day moving average is moving down which suggests that the short-term momentum for IBM 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 IBM is bearish.

The RSI indicator is below 20 which suggests that the stock is in oversold territory.

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 IBM

Buffett’s aversion to iPhones may have kept him out of Am…
Mon, 07 May 2018 23:13:00 +0000
Jim Cramer wonders if Warren Buffett’s reluctance to use Apple iPhones was what stopped his fund from investing in Amazon and Alphabet’s stocks.

Jim Cramer: Learning From Buffett’s Mistakes
Mon, 07 May 2018 23:01:00 +0000
There are lessons and profits to be gained from studying Warren Buffett’s misses.

Cramer: Warren Buffett’s aversion to iPhones might’ve bee…
Mon, 07 May 2018 22:38:00 +0000
Jim Cramer wonders if Warren Buffett’s reluctance to use Apple iPhones was what stopped his fund from investing in Amazon and Alphabet’s stocks.

What Happened to IBM’s Revenue?
Mon, 07 May 2018 20:20:00 +0000
Around $28 billion of annual sales have disappeared since 2011 — but it’s not as bad as it looks.

Stay Long Apple, Avoid IBM and J&J: Strategas
Mon, 07 May 2018 17:29:00 +0000
While the Dow Jones Industrial Average (DJIA) spiked late last week, jumping some 300 points on Friday, roughly two thirds of the 30 companies that make up the blue-chip index were trading in correction territory or worse, as outlined by CNBC. IBM stock suffered its worst day in four years last month on full-year guidance, which fell short of the Street’s expectations.

Be Sociable, Share!

Related Posts