Costco (COST) Offering Possible 36.99% Return Over the Next 24 Calendar Days

Costco's most recent trend suggests a bearish bias. One trading opportunity on Costco is a Bear Call Spread using a strike $305.00 short call and a strike $315.00 long call offers a potential 36.99% return on risk over the next 24 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $305.00 by expiration. The full premium credit of $2.70 would be kept by the premium seller. The risk of $7.30 would be incurred if the stock rose above the $315.00 long call strike price.

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

The RSI indicator is at 36.8 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 Costco

Shoppers will pay more for the same item online versus in stores under new COVID-19 conditions, experts say
Sat, 20 Jun 2020 16:44:00 +0000
With margins in trouble across retail, some experts say a pricing strategy that makes items more expensive when bought online or in stores is a smart way to go.

Costco prepares to bring back a customer favorite: free food samples
Sat, 20 Jun 2020 07:38:13 +0000
Many retailers are easing restrictions inside stores as states begin to reopen after shutting down due to the coronavirus pandemic.

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Fri, 19 Jun 2020 14:58:06 +0000
Saturna Capital Corporation is the investment management company of Sextant Mutual Funds. Sextant Mutual Funds recently released Q1 2020 Investor Letter, a copy of which you can download here. The Sextant Growth Fund posted a return of -15.13% for the quarter, outperforming its benchmark, the S&P 500 Index which returned -19.60% in the same quarter. […]

3 Growing Retailers With Cash to Spare That Aren’t Amazon
Thu, 18 Jun 2020 11:30:00 +0000
In recent years, retail has been one of the most brutal sectors for investors to be in. But there are ways to identify some winners for the current environment.

The Zacks Analyst Blog Highlights: Procter & Gamble, Eli Lilly, Thermo Fisher Scientific, Costco Wholesale and Shopify
Wed, 17 Jun 2020 15:10:03 +0000
The Zacks Analyst Blog Highlights: Procter & Gamble, Eli Lilly, Thermo Fisher Scientific, Costco Wholesale and Shopify

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