Berkshire Offering Possible 1.42% Return Over the Next 24 Calendar Days

Berkshire's most recent trend suggests a bearish bias. One trading opportunity on Berkshire is a Bear Call Spread using a strike $120.00 short call and a strike $130.00 long call offers a potential 1.42% return on risk over the next 24 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $120.00 by expiration. The full premium credit of $0.14 would be kept by the premium seller. The risk of $9.86 would be incurred if the stock rose above the $130.00 long call strike price.

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

The RSI indicator is at 61.82 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 Berkshire

How Warren Buffett's ‘LeBron James Analogy' Could Make You A Fortune
Thu, 24 Oct 2013 12:00:00 GMT
StreetAuthority Network – I have a “love-hate” relationship with LeBron James. I was turned off by “The Decision” — a crass July

Everything You Need to Know About Insurers: The Specialists
Thu, 24 Oct 2013 11:46:16 GMT
Motley Fool – The brains behind Berkshire Hathaway, AIG, Markel, and First American know that capturing some of the not-so-mainstream business can really set you apart.

Don't Forget Buffett's Mini-Payday, Courtesy of General Electric
Thu, 24 Oct 2013 10:12:56 GMT
Motley Fool – Much like Warren Buffett's earlier deal with Goldman Sachs, General Electric just helped The Oracle quietly earn an easy $260 million for Berkshire Hathaway. Here's how.

Buffett Says Gains in Housing Fall Short of Equilibrium
Thu, 24 Oct 2013 04:00:03 GMT
Bloomberg – Warren Buffett, the billionaire chairman and chief executive officer of Berkshire Hathaway Inc., said the U.S. housing market has made progress and still has a way to go in recovering.

Buffett Clan Banters About Giving Away $75 Billion
Thu, 24 Oct 2013 04:00:01 GMT
Bloomberg – Three Buffetts had a role in the new book “Forty Chances: Finding Hope in a Hungry World.”

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