Wal-Mart Offering Possible 25.94% Return Over the Next 32 Calendar Days

Wal-Mart's most recent trend suggests a bearish bias. One trading opportunity on Wal-Mart is a Bear Call Spread using a strike $77.50 short call and a strike $82.50 long call offers a potential 25.94% return on risk over the next 32 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $77.50 by expiration. The full premium credit of $1.03 would be kept by the premium seller. The risk of $3.97 would be incurred if the stock rose above the $82.50 long call strike price.

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

This company is conquering the organic food market
Tue, 17 Dec 2013 21:24:12 GMT
Talking Numbers – http://d.yimg.com/hd/cnbc2/lotus/1387314970661_475_21z13S7BFVgq1_1_0.jpg?s=3f678f6a3f08623fb2ce43ea0e590874&c=6cba975d99f4118132bb6248634a51ab&a=cnbc2&mr=0

Retail Report: Amazon’s Bezos Wears This Year’s Santa Hat
Tue, 17 Dec 2013 20:56:04 GMT
Wall St. Cheat Sheet – Amazon has significantly better online availability of toys than competitors like Target and Wal-Mart.

You can bet on brick and mortars: Pro
Tue, 17 Dec 2013 20:16:00 GMT
CNBC – With e-retailers dominating the holiday shopping season, Steve Kernkraut, Berman Capital Management co-portfolio manager & partner, and John Morris, BMO Capital Markets senior retail analyst, discuss if …

Amazon: Look at the scoreboard
Tue, 17 Dec 2013 19:05:47 GMT
Financial Times – A Walmart executive recently laid out his company's strategy for the holiday shopping season as follows: “We're going to win”. Other retailers say the same. Heavy discounting is predicted, and …

Why Wal-Mart, Target, and Costco Are Appealing Investments
Tue, 17 Dec 2013 17:34:34 GMT
Motley Fool – These three competing retailers all offer great investment potential.

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