Coca Cola (KO) Offering Possible 5.04% Return Over the Next 33 Calendar Days

Coca Cola's most recent trend suggests a bearish bias. One trading opportunity on Coca Cola is a Bear Call Spread using a strike $42.50 short call and a strike $47.50 long call offers a potential 5.04% return on risk over the next 33 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $42.50 by expiration. The full premium credit of $0.24 would be kept by the premium seller. The risk of $4.76 would be incurred if the stock rose above the $47.50 long call strike price.

The 5-day moving average is moving down which suggests that the short-term momentum for Coca Cola 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 Coca Cola 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 Coca Cola

Coca-Cola outlook for 2015 is short of target
Mon, 15 Dec 2014 23:45:44 GMT

Coca-Cola outlook for 2015 is short of target
Mon, 15 Dec 2014 23:45:44 GMT

Fast Money Final Trade: ISIL, TM, DECK & KO
Mon, 15 Dec 2014 22:58:00 GMT

Coca-Cola Repeats 2015 Profit Outlook That Lags Long-Term Target
Mon, 15 Dec 2014 21:53:10 GMT

[$$] Wintergreen Steps Up Criticism of Coke
Mon, 15 Dec 2014 21:48:15 GMT

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