Netflix (NFLX) Offering Possible 49.25% Return Over the Next 18 Calendar Days

Netflix's most recent trend suggests a bullish bias. One trading opportunity on Netflix is a Bull Put Spread using a strike $410.00 short put and a strike $400.00 long put offers a potential 49.25% return on risk over the next 18 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $410.00 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 dropped below the $400.00 long put strike price.

The 5-day moving average is moving up which suggests that the short-term momentum for Netflix is bullish and the probability of a rise in share price is higher if the stock starts trending.

The 20-day moving average is moving up which suggests that the medium-term momentum for Netflix is bullish.

The RSI indicator is above 80 which suggests that the stock is in overbought 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 Netflix

Consumers tighten embrace of Net and streaming content
Wed, 04 Jun 2014 00:12:11 GMT

Safari embraces HTML5 video with DRM, touts longer Netflix streaming
Tue, 03 Jun 2014 18:25:11 GMT

Can Netflix Conquer the World?
Tue, 03 Jun 2014 17:24:03 GMT

Why it makes sense for Amazon to enter the music streaming market
Tue, 03 Jun 2014 17:00:18 GMT

Is Netflix a Poor Investment to Make?
Tue, 03 Jun 2014 16:39:59 GMT

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