Baidu (BIDU) Offering Possible 47.06% Return Over the Next 18 Calendar Days

Baidu's most recent trend suggests a bullish bias. One trading opportunity on Baidu is a Bull Put Spread using a strike $202.50 short put and a strike $197.50 long put offers a potential 47.06% return on risk over the next 18 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $202.50 by expiration. The full premium credit of $1.60 would be kept by the premium seller. The risk of $3.40 would be incurred if the stock dropped below the $197.50 long put strike price.

The 5-day moving average is moving up which suggests that the short-term momentum for Baidu is bullish and the probability of a rise in share price is higher if the stock starts trending.

The 20-day moving average is moving up which suggests that the medium-term momentum for Baidu is bullish.

The RSI indicator is at 55.71 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

iQIYI App Surges to Seventh Top App by Revenue Worldwide for October 2015
Mon, 30 Nov 2015 02:15:00 GMT
PR Newswire – BEIJING, Nov. 29, 2015 /PRNewswire/ — iQIYI, an independently operated subsidiary of Baidu (NASDAQ:BIDU) and one of the largest Internet and mobile video service providers in China, today announced that …

Baidu Inc. (ADR) Is Making Moves Into India
Sat, 28 Nov 2015 16:15:00 GMT
Motley Fool – Baidu's next big move looks to be online-to-offline services in India. This Fool is excited about its prospects.

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Wed, 25 Nov 2015 13:55:00 GMT

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Tue, 24 Nov 2015 00:05:37 GMT

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