Baxter (BAX) Offering Possible 9.65% Return Over the Next 10 Calendar Days

Baxter's most recent trend suggests a bearish bias. One trading opportunity on Baxter is a Bear Call Spread using a strike $75.00 short call and a strike $80.00 long call offers a potential 9.65% 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 $75.00 by expiration. The full premium credit of $0.44 would be kept by the premium seller. The risk of $4.56 would be incurred if the stock rose above the $80.00 long call strike price.

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

The RSI indicator is at 31.37 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 Baxter

BAXTER INTERNATIONAL INC Financials
Wed, 06 Aug 2014 17:04:12 GMT

Pfizer To Buy Baxter's Vaccines For $635 Million: The Positives & Negatives
Tue, 05 Aug 2014 13:16:39 GMT

Baxter: Prepare For Upcoming Spin-Off
Tue, 05 Aug 2014 12:00:00 GMT

Cramer looks for bright spots in the market
Mon, 04 Aug 2014 22:58:00 GMT

Cramer: Dozens of stocks that could work higher
Mon, 04 Aug 2014 22:56:07 GMT

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