Electronic Arts (EA) Offering Possible 5.49% Return Over the Next 19 Calendar Days

Electronic Arts's most recent trend suggests a bearish bias. One trading opportunity on Electronic Arts is a Bear Call Spread using a strike $36.00 short call and a strike $41.00 long call offers a potential 5.49% return on risk over the next 19 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $36.00 by expiration. The full premium credit of $0.26 would be kept by the premium seller. The risk of $4.74 would be incurred if the stock rose above the $41.00 long call strike price.

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

The RSI indicator is at 41.9 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

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Hagens Berman Reaches Preliminary Approved Settlement with Electronic Arts in Likeness Case
Sat, 31 May 2014 01:29:00 GMT
Business Wire – Attorneys representing student-athletes who claim Electronic Arts illegally used student-athletes’ likenesses in the company’s popular NCAA Football, Basketball,

ELECTRONIC ARTS INC. Financials
Thu, 29 May 2014 17:04:10 GMT

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