Cummins (CMI) Offering Possible 21.5% Return Over the Next 17 Calendar Days

Cummins's most recent trend suggests a bearish bias. One trading opportunity on Cummins is a Bear Call Spread using a strike $146.00 short call and a strike $152.50 long call offers a potential 21.5% return on risk over the next 17 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $146.00 by expiration. The full premium credit of $1.15 would be kept by the premium seller. The risk of $5.35 would be incurred if the stock rose above the $152.50 long call strike price.

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

The RSI indicator is at 71.19 level which suggests that the stock is neither overbought nor oversold at this time.

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LATEST NEWS for Cummins

New balance of power on Capitol Hill…but no change in stock prices
Wed, 05 Nov 2014 21:29:50 GMT

CUMMINS INC Files SEC form 8-K, Entry into a Material Definitive Agreement, Creation of a Direct Financial Obligation
Tue, 04 Nov 2014 21:37:50 GMT

CUMMINS INC Financials
Tue, 04 Nov 2014 18:04:11 GMT

Cummins Launches QSK50 Optimized for Variable Speed Diesel Electric Applications
Mon, 03 Nov 2014 13:34:36 GMT
noodls – CHARLESTON, S.C., Nov. 3, 2014 /PRNewswire/ — Cummins Inc. (NYSE: CMI) a leading manufacturer of diesel engines for the commercial marine industry, is pleased to announce the availability of the QSK50 …

Cummins Launches QSK50 Optimized for Variable Speed Diesel Electric Applications
Mon, 03 Nov 2014 13:30:00 GMT
PR Newswire – CHARLESTON, S.C., Nov. 3, 2014 /PRNewswire/ — Cummins Inc. (NYSE: CMI) a leading manufacturer of diesel engines for the commercial marine industry, is pleased to announce the availability of the QSK50 …

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