Illinois Tool Offering Possible 5.26% Return Over the Next 18 Calendar Days

Illinois Tool's most recent trend suggests a bearish bias. One trading opportunity on Illinois Tool is a Bear Call Spread using a strike $80.00 short call and a strike $85.00 long call offers a potential 5.26% return on risk over the next 18 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $80.00 by expiration. The full premium credit of $0.25 would be kept by the premium seller. The risk of $4.75 would be incurred if the stock rose above the $85.00 long call strike price.

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

Illinois Tool Works Discovers Better Sourcing with Ariba
Tue, 04 Feb 2014 13:30:00 GMT
Business Wire – Social tools and business networks have changed the very nature of business and engagement. And innovative companies are leveraging them to fuel new, more efficient processes that drive advantage.

Illinois Tool Works (ITW) Is Today's Unusual Social Activity Stock
Wed, 29 Jan 2014 16:18:00 GMT

Why Illinois Tool Works (ITW) Was Upgraded
Wed, 29 Jan 2014 14:35:00 GMT

Illinois Tool Works Management Discusses Q4 2013 Results – Earnings Call Transcript
Tue, 28 Jan 2014 18:40:13 GMT

Today's Water-Logged And Getting Wetter Stock: Illinois Tool Works (ITW)
Tue, 28 Jan 2014 18:09:00 GMT

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