Kraft Foods Offering Possible 6.38% Return Over the Next 18 Calendar Days

Kraft Foods's most recent trend suggests a bearish bias. One trading opportunity on Kraft Foods is a Bear Call Spread using a strike $52.50 short call and a strike $57.50 long call offers a potential 6.38% 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 $52.50 by expiration. The full premium credit of $0.30 would be kept by the premium seller. The risk of $4.70 would be incurred if the stock rose above the $57.50 long call strike price.

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

The RSI indicator is below 20 which suggests that the stock is in oversold territory.

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LATEST NEWS for Kraft Foods

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Sat, 01 Feb 2014 19:14:02 GMT
Motley Fool – Starbucks is going toe-to-toe with Kraft and J.M. Smucker in a bid to dominate the grocery aisle.

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Fri, 31 Jan 2014 23:16:09 GMT
Motley Fool – Starbucks is dominating the coffee market these days, but McDonald's is cooking up a plan to steal market share from the java giant.

Heading Into Earnings, Is Tyson Ready to Fly?
Thu, 30 Jan 2014 19:28:04 GMT
Motley Fool – Tyson, currently one of the largest food producers in the world, is due to report earnings this week, but just because it's big doesn't mean that it's good. Can the company rid itself of the pain of the …

PURE Bioscience Organizes To Take Prominent Role In Food Safety
Wed, 29 Jan 2014 11:42:27 GMT
Seeking Alpha – Editors' Note: This article covers a stock trading at less than $1 per share and/or with less than a $100 million market cap. Please be aware of the risks associated with these stocks.

Who Wins When the Farm Bill Gets Passed?
Tue, 28 Jan 2014 14:38:44 GMT
Motley Fool – The farm bill may be passed this week, and farmers, food producers, and consumers all have their own ideas as to what should be included in the legislation.

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