Baidu (BIDU) Offering Possible 28.21% Return Over the Next 10 Calendar Days

Baidu's most recent trend suggests a bearish bias. One trading opportunity on Baidu is a Bear Call Spread using a strike $185.00 short call and a strike $190.00 long call offers a potential 28.21% return on risk over the next 10 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $185.00 by expiration. The full premium credit of $1.10 would be kept by the premium seller. The risk of $3.90 would be incurred if the stock rose above the $190.00 long call strike price.

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

The RSI indicator is at 43.15 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 Baidu

Baidu Announces Melody, a New AI-Powered Conversational Bot for Doctors and Patients
Tue, 11 Oct 2016 09:00:00 GMT
Marketwired – Baidu, Inc. , China's leading search engine, today launched Melody, an AI-powered conversational bot that helps doctors gather information and respond to patients about their medical conditions.

How China's biggest search engine aims to fix a huge crisis in health care: A bot
Tue, 11 Oct 2016 09:00:00 GMT
CNBC – Baidu — China's biggest search engine — introduces an AI-powered chatbot to connect with patients and suggest diagnoses to doctors.

Steven Romick Expands Financial and Tech Empire in Third Quarter
Mon, 10 Oct 2016 21:58:22 GMT
Gurufocus – Guru invests in two financial services companies and adds to two online media companies

2 Chinese Stocks That Turned $3,000 Into More Than $120,000
Mon, 10 Oct 2016 21:27:00 GMT

4 Blue Chip Picks For Global Investors
Mon, 10 Oct 2016 17:00:00 GMT

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