Allergan (AGN) Offering Possible 7.53% Return Over the Next 12 Calendar Days

Allergan's most recent trend suggests a bearish bias. One trading opportunity on Allergan is a Bear Call Spread using a strike $215.00 short call and a strike $220.00 long call offers a potential 7.53% return on risk over the next 12 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $215.00 by expiration. The full premium credit of $0.35 would be kept by the premium seller. The risk of $4.65 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 56.99 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

Deal of the year: Allergan
Sun, 04 Jan 2015 17:13:44 GMT
Financial Times – For the past three decades the great and the good of the pharmaceuticals industry have descended on San Francisco for a week in January. They ostensibly come for JPMorgan's annual healthcare conference …

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Thu, 01 Jan 2015 12:00:00 GMT

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Wed, 31 Dec 2014 10:00:20 GMT

AGN SHAREHOLDER ALERT: LEVI & KORSINSKY, LLP Notifies Investors of Class Action Involving Allergan, Inc. and Its Board of Directors and a Lead Plaintiff Deadline of February 16, 2015 — AGN
Mon, 29 Dec 2014 21:13:11 GMT
Marketwired – Levi & Korsinsky announces that a class action lawsuit has been commenced in the United States District Court for the Central District of California on behalf of investors who sold Allergan, Inc. securities …

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