Caterpillar (CAT) Offering Possible 10.74% Return Over the Next 29 Calendar Days

Caterpillar's most recent trend suggests a bullish bias. One trading opportunity on Caterpillar is a Bull Put Spread using a strike $125.00 short put and a strike $115.00 long put offers a potential 10.74% return on risk over the next 29 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $125.00 by expiration. The full premium credit of $0.97 would be kept by the premium seller. The risk of $9.03 would be incurred if the stock dropped below the $115.00 long put strike price.

The 5-day moving average is moving up which suggests that the short-term momentum for Caterpillar is bullish and the probability of a rise in share price is higher if the stock starts trending.

The 20-day moving average is moving up which suggests that the medium-term momentum for Caterpillar is bullish.

The RSI indicator is at 79.17 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 Caterpillar

Caterpillar (CAT) Q3 Earnings: Another Beat in the Offing?
Tue, 17 Oct 2017 14:39:02 +0000
After delivering back-to-back surprises in last four quarters, Caterpillar is likely to deliver another beat in Q3 thanks to improving sales in Asia Pacific, Construction and Resource Industries.

Top Ranked Momentum Stocks to Buy for October 17th
Tue, 17 Oct 2017 14:35:02 +0000
Top Ranked Momentum Stocks to Buy for October 17th

Profit From U.S. Manufacturing With These 5 Terrific Stocks
Tue, 17 Oct 2017 14:06:02 +0000
It makes great sense to invest in manufacturing stocks, especially because these stocks have performed exceeding well this year.

ETFs with exposure to Caterpillar, Inc. : October 17, 2017
Tue, 17 Oct 2017 13:37:20 +0000
Categories: ETFs Yahoo FinanceClick here to see latest analysis ETFs with exposure to Caterpillar, Inc. Here are 5 ETFs with the largest exposure to CAT-US. Comparing the performance and risk of Caterpillar, Inc. with the ETFs that have exposure to it gives us some ETF choices that could give us similar returns with lower volatility. Ticker Fund Name … Read more
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How To Trade Caterpillar, McDonald's And 2 Other Dow Components Before Reporting Earnings
Mon, 16 Oct 2017 14:54:00 +0000
These four stocks hit postelection highs last week. Here's how to trade them before they report third quarter earnings next week.

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