Costco (COST) Offering Possible 49.25% Return Over the Next 28 Calendar Days

Costco's most recent trend suggests a bearish bias. One trading opportunity on Costco is a Bear Call Spread using a strike $375.00 short call and a strike $385.00 long call offers a potential 49.25% return on risk over the next 28 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $375.00 by expiration. The full premium credit of $3.30 would be kept by the premium seller. The risk of $6.70 would be incurred if the stock rose above the $385.00 long call strike price.

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

The RSI indicator is at 26.83 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

These major retailers are spending millions of dollars to show employees appreciation
Wed, 16 Dec 2020 19:47:24 +0000
Retailers open up their wallets to pay more workers after months of hard work during the COVID-19 outbreak.

Costco (COST) Poised to Tap Rising Demand Amid COVID-19
Wed, 16 Dec 2020 14:41:02 +0000
Costco (COST) has been rapidly adopting the omni-channel mantra to provide a seamless shopping experience, whether online or at stores. E-commerce comparable sales soar 71.3% during the month of November.

Where Will Costco Be in 5 Years?
Wed, 16 Dec 2020 12:15:00 +0000
There may be no more unflappable retail stock than Costco Wholesale (NASDAQ: COST). Shares of the warehouse retailer have marched higher consistently over the last decade, even as much of the brick-and-mortar retail sector has been turned upside down by the threat posed by Amazon and other online retailers — and more recently the coronavirus pandemic. Costco's reliance on everyday items also helps make the company recession-proof, as its reputation for bargain prices will keep shoppers coming even in a bad economy like the current one.

10 Best Large-Cap Stocks To Buy According to Ray Dalio
Wed, 16 Dec 2020 03:07:38 +0000
In this article we presented the 10 best large-cap stocks to buy now according to billionaire Ray Dalio. Click to skip ahead and see the 5 best large-cap stocks to buy now. The American billionaire Bridgewater founder Raymond Thomas Dalio is one of the best hedge fund managers as Bridgewater returned the largest cumulative profits […]

If You Put $10,000 Into Costco Stock Last January, Here's How Much You'd Have Now
Tue, 15 Dec 2020 17:15:00 +0000
Warehouse retailer Costco Wholesale (NASDAQ: COST) certainly had an interesting year in 2020. Costco ended the first quarter of fiscal year 2021 with 107 million cardholders, up 7.2% from the year-ago reading. The spring was still difficult because Costco had to adjust its operations to ameliorate the incoming health crisis, just like everybody else.

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