Archer Daniels (ADM) Offering Possible 14.68% Return Over the Next 26 Calendar Days

Archer Daniels's most recent trend suggests a bearish bias. One trading opportunity on Archer Daniels is a Bear Call Spread using a strike $45.50 short call and a strike $50.50 long call offers a potential 14.68% return on risk over the next 26 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $45.50 by expiration. The full premium credit of $0.64 would be kept by the premium seller. The risk of $4.36 would be incurred if the stock rose above the $50.50 long call strike price.

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

The RSI indicator is at 26.63 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 Archer Daniels

ADM says suspends cocoa roasting at German plant after fire
Fri, 24 Oct 2014 13:51:25 GMT

Monsanto, soy exporter royalties dispute rages on in Brazil
Thu, 23 Oct 2014 12:50:22 GMT
Reuters – The majority of soy exporting firms in Brazil have still not agreed to collect royalties for seed giant Monsanto Co, threatening sales of up to a quarter of the country's soy crop, industry association Abiove said on Thursday. A small, local exporter told Reuters earlier this month it had agreed to police farmers' royalty payments on Monsanto's new Intacta RR2 Pro seeds in exchange for a fee, and Abiove told soy growers group Aprosoja in September that the months-long dispute was close to being resolved. “The risks of possible future embarrassment to the soy industry from Monsanto… may prevent crushing and trading firms from receiving that (Intacta) soy,” Abiove said in a statement. Trading firms have not had to oversee royalty payments in the United States, the world's No. 2 soy exporter after Brazil, because biotech company's patents are protected by laws that do not allow farmers to reuse seeds year after year there.

Harley-Davidson, Inc. (HOG) Jumps: Stock Adds 7.3% in Session
Wed, 22 Oct 2014 11:27:26 GMT

ASIA COCOA-Butter ratios hit 14-month low on high prices, stocks
Tue, 21 Oct 2014 11:25:13 GMT

ASIA COCOA-Butter ratios hit 14-month low on high prices, stocks
Tue, 21 Oct 2014 11:25:13 GMT

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