Rowan Companies (RDC) Offering Possible 8.7% Return Over the Next 16 Calendar Days

Rowan Companies's most recent trend suggests a bearish bias. One trading opportunity on Rowan Companies is a Bear Call Spread using a strike $22.00 short call and a strike $27.00 long call offers a potential 8.7% return on risk over the next 16 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $22.00 by expiration. The full premium credit of $0.40 would be kept by the premium seller. The risk of $4.60 would be incurred if the stock rose above the $27.00 long call strike price.

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

The RSI indicator is at 27.55 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 Rowan Companies

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Wed, 03 Dec 2014 16:01:00 GMT

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Rowan Provides Fleet Contract Status Update
Thu, 20 Nov 2014 22:00:00 GMT
PR Newswire – HOUSTON, Nov. 20, 2014 /PRNewswire/ — Rowan Companies plc (“Rowan” or the “Company”) (NYSE: RDC) announced today that its monthly report of drilling rig status and contract information …

Credits & Debits
Tue, 18 Nov 2014 05:41:27 GMT
The Wall Street Journal – The most recent CFO moves

ROWAN COMPANIES PLC Financials
Fri, 14 Nov 2014 18:04:51 GMT

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