Caterpillar (CAT) Offering Possible 166.67% Return Over the Next 9 Calendar Days

Caterpillar's most recent trend suggests a bearish bias. One trading opportunity on Caterpillar is a Bear Call Spread using a strike $150.00 short call and a strike $160.00 long call offers a potential 166.67% return on risk over the next 9 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $150.00 by expiration. The full premium credit of $6.25 would be kept by the premium seller. The risk of $3.75 would be incurred if the stock rose above the $160.00 long call strike price.

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

The RSI indicator is at 38.45 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 Caterpillar

Caterpillar Announces Executive Officer Retirement
Mon, 09 Apr 2018 22:30:00 +0000
DEERFIELD, Ill., April 9, 2018 /PRNewswire/ — Following a distinguished career spanning nearly 30 years with the company, Caterpillar Inc. (CAT) announced today that Group President Rob Charter has elected to retire. “During his three decades with Caterpillar, Rob has built a reputation for his focus and unwavering commitment to helping our customers succeed,” said Caterpillar CEO Jim Umpleby. “Rob's global perspective – he's held positions in Asia, Latin America, the United States and in his home country of Australia – is just one reason he's a valuable member of our executive leadership team.

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Mon, 09 Apr 2018 17:24:01 +0000
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Sat, 07 Apr 2018 02:55:12 +0000
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Fri, 06 Apr 2018 22:56:00 +0000
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