American Express (AXP) Offering Possible 9.89% Return Over the Next 8 Calendar Days

American Express's most recent trend suggests a bearish bias. One trading opportunity on American Express is a Bear Call Spread using a strike $95.00 short call and a strike $100.00 long call offers a potential 9.89% 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 $95.00 by expiration. The full premium credit of $0.45 would be kept by the premium seller. The risk of $4.55 would be incurred if the stock rose above the $100.00 long call strike price.

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

The RSI indicator is at 39.96 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 American Express

Warren Buffett Loves This Stock
Sun, 13 Jul 2014 14:38:26 GMT

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Sun, 13 Jul 2014 10:48:00 GMT

Hate the U.S. Mortgage Business? So Does this Banking Analyst: A Wall Street Transcript Interview with Chris Kotowski, Managing Director and Senior Research Analyst at Oppenheimer & Co. Inc.
Fri, 11 Jul 2014 12:32:00 GMT

AmEx Used Merchants Money Against Them, Discover COO Says
Thu, 10 Jul 2014 22:40:18 GMT

Loan Growth Good News For AMEX, Capital One, Discover
Thu, 10 Jul 2014 20:42:00 GMT

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