Capital One Offering Possible 6.61% Return Over the Next 24 Calendar Days

Capital One's most recent trend suggests a bearish bias. One trading opportunity on Capital One is a Bear Call Spread using a strike $72.50 short call and a strike $77.50 long call offers a potential 6.61% 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 $72.50 by expiration. The full premium credit of $0.31 would be kept by the premium seller. The risk of $4.69 would be incurred if the stock rose above the $77.50 long call strike price.

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

The RSI indicator is below 20 which suggests that the stock is in oversold territory.

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 Capital One

Capital One Announces Quarterly Dividend
Wed, 29 Jan 2014 23:55:54 GMT
noodls – Company also declares preferred stock dividend MCLEAN, Va.–(BUSINESS WIRE)–Jan. 29, 2014– Capital One Financial Corporation (NYSE: COF) today announced a quarterly dividend of $0.30 per share payable …

Capital One Announces Quarterly Dividend
Wed, 29 Jan 2014 23:46:00 GMT
Business Wire – Capital One Financial Corporation today announced a quarterly dividend of $0.30 per share payable February 21, 2014 to stockholders of record as of the close of business on February 10, 2014.

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Sun, 26 Jan 2014 07:35:56 GMT
Motley Fool – And several more things that they hate a bit less than most.

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Fri, 24 Jan 2014 20:21:50 GMT
Seeking Alpha – American Express ( AXP ) survived the financial crisis well, which is indicative of a very strong company in an industry that saw significant trouble in recent years. When analyzing a company within the …

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Fri, 24 Jan 2014 19:30:37 GMT
BusinessWeek – Small business owners aren't over the moon for big corporations, according to a new study

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