Baidu Offering Possible 25.94% Return Over the Next 30 Calendar Days

Baidu's most recent trend suggests a bearish bias. One trading opportunity on Baidu is a Bear Call Spread using a strike $165.00 short call and a strike $175.00 long call offers a potential 25.94% return on risk over the next 30 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $165.00 by expiration. The full premium credit of $2.06 would be kept by the premium seller. The risk of $7.94 would be incurred if the stock rose above the $175.00 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 47.66 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 Baidu

Big cap tech back: Pro
Thu, 21 Nov 2013 22:00:00 GMT
CNBC – The Fast Money traders discuss technology driving the market right now. Big cap tech seems to be back in favor, says Tim Seymour.

Can Qihoo 360 Bounce Back Against Baidu and Sohu?
Thu, 21 Nov 2013 19:02:06 GMT
Motley Fool – After a huge run, Qihoo stock has plateaued recently. Can the Chinese Internet company regain its former momentum against search rivals Baidu and Sohu?

Viking Global Investors starts new positions in LOW, BAC, DIS, BIDU, Sells BA, CX – 13F Flash (C)
Thu, 21 Nov 2013 17:00:07 GMT
Market Realist – Viking Global Investors LP is an independent hedge fund management firm founded by Andreas Halvorsen, Brian Olson, and David Ott. It manages assets of around $20 billion and has offices in New…

Baidu's Biggest Competitors
Wed, 20 Nov 2013 17:58:07 GMT
Motley Fool – You may know Qihoo 360 is Baidu's biggest competitor today, but you should also watch out for Sohu's Sogou.com — it's grown formidable thanks a Tencent partnership.

How to buy bitcoin
Wed, 20 Nov 2013 17:50:00 GMT
MarketWatch – Is bitcoin going to hit critical mass and end up going mainstream? Is it possible that bitcoin goes up another 10-fold or more if all these bitcoin investment business get approval?

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