Allergan (AGN) Offering Possible 14.94% Return Over the Next 32 Calendar Days

Allergan's most recent trend suggests a bearish bias. One trading opportunity on Allergan is a Bear Call Spread using a strike $210.00 short call and a strike $220.00 long call offers a potential 14.94% return on risk over the next 32 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $210.00 by expiration. The full premium credit of $1.30 would be kept by the premium seller. The risk of $8.70 would be incurred if the stock rose above the $220.00 long call strike price.

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

The RSI indicator is at 33.66 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 Allergan

Few Allergan execs to keep top jobs in Actavis takeover
Wed, 17 Dec 2014 03:12:00 GMT

Great Stocks: Valeant Pharmaceuticals Near Buy Point
Tue, 16 Dec 2014 23:11:00 GMT

Actavis Unveils Management Changes
Tue, 16 Dec 2014 15:28:57 GMT

Activis to Replace Most Allergan Executives After Deal
Tue, 16 Dec 2014 14:49:16 GMT

Allergan downgraded by Stifel
Mon, 15 Dec 2014 12:38:59 GMT

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