Caterpillar (CAT) Offering Possible 34.77% Return Over the Next 22 Calendar Days

Caterpillar's most recent trend suggests a bullish bias. One trading opportunity on Caterpillar is a Bull Put Spread using a strike $205.00 short put and a strike $200.00 long put offers a potential 34.77% return on risk over the next 22 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $205.00 by expiration. The full premium credit of $1.29 would be kept by the premium seller. The risk of $3.71 would be incurred if the stock dropped below the $200.00 long put strike price.

The 5-day moving average is moving up which suggests that the short-term momentum for Caterpillar is bullish and the probability of a rise in share price is higher if the stock starts trending.

The 20-day moving average is moving up which suggests that the medium-term momentum for Caterpillar is bullish.

The RSI indicator is at 43.49 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 (CAT) to Report Q2 Earnings: What's in Store?
Mon, 26 Jul 2021 12:41:12 +0000
Caterpillar's (CAT) second-quarter 2021 results are likely to reflect improved demand in its end markets. Higher input and freights costs are anticipated to have acted as headwinds.

Top 5 Things to Watch in Markets in the Week Ahead
Sun, 25 Jul 2021 07:12:30 +0000
By Noreen Burke

Caterpillar (CAT) Reports Next Week: Wall Street Expects Earnings Growth
Fri, 23 Jul 2021 19:00:07 +0000
Caterpillar (CAT) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.

Caterpillar (CAT) Outpaces Stock Market Gains: What You Should Know
Wed, 21 Jul 2021 21:45:09 +0000
Caterpillar (CAT) closed the most recent trading day at $210.73, moving +1.33% from the previous trading session.

The Zacks Analyst Blog Highlights: Berkshire Hathaway, PayPal, Procter & Gamble, Adobe and Caterpillar
Wed, 21 Jul 2021 14:56:02 +0000
The Zacks Analyst Blog Highlights: Berkshire Hathaway, PayPal, Procter & Gamble, Adobe and Caterpillar

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