Merck (MRK) Offering Possible 8.93% Return Over the Next 8 Calendar Days

Merck's most recent trend suggests a bearish bias. One trading opportunity on Merck is a Bear Call Spread using a strike $58.50 short call and a strike $63.50 long call offers a potential 8.93% return on risk over the next 8 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $58.50 by expiration. The full premium credit of $0.41 would be kept by the premium seller. The risk of $4.59 would be incurred if the stock rose above the $63.50 long call strike price.

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

The RSI indicator is at 46.32 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

LATEST NEWS for Merck

Johnson & Johnson Earnings: Can Pharma Keep Stoking Growth?
Mon, 14 Jul 2014 11:02:54 GMT

Merck KGaA’s Biopharmaceutical Division Appoints Luciano Rossetti as Global Head of R&D
Mon, 14 Jul 2014 10:59:47 GMT
noodls – News Release Your Contact Gangolf Schrimpf +49 6151 72-9591 Investor Relations +49 6151 72-9591 July 14, 2014 Merck KGaA's Biopharmaceutical Division Appoints Luciano Rossetti as Global Head of R&D Darmstadt, …

Merck KGaA pharma chief says looking at mid-size deals – paper
Sat, 12 Jul 2014 11:22:44 GMT

Senators Ask Gilead To Explain Sovaldi Pricing
Fri, 11 Jul 2014 15:35:00 GMT

If Big Pharma Ignores Antibacterial R&D, Where Will We Get The Drugs To Treat Superbugs?
Fri, 11 Jul 2014 12:16:00 GMT

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