Caterpillar (CAT) Offering Possible 5.71% Return Over the Next 8 Calendar Days

Caterpillar's most recent trend suggests a bullish bias. One trading opportunity on Caterpillar is a Bull Put Spread using a strike $140.00 short put and a strike $130.00 long put offers a potential 5.71% return on risk over the next 8 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $140.00 by expiration. The full premium credit of $0.54 would be kept by the premium seller. The risk of $9.46 would be incurred if the stock dropped below the $130.00 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 42.95 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

For stocks to climb, Trump has to play nice with China
Tue, 10 Apr 2018 23:43:00 +0000
Jim Cramer says that the stock market isn't driven by earnings or the Fed, but by U.S.-China relations.

Cramer: Trump has to play nice with China for stocks to c…
Tue, 10 Apr 2018 22:59:00 +0000
Jim Cramer says that the stock market isn't driven by earnings or the Fed, but by U.S.-China relations.

CAT Stock Is Looking Ready To Start Purring Again
Tue, 10 Apr 2018 14:37:04 +0000
Caterpillar Inc. (NYSE:CAT) has fallen sharply after trading at an all time high of $170.89 on January 22. The last two earnings reports were both huge upside beats for Caterpillar. In that same time frame, CAT stock gone nowhere, having returned to where it was after the first earnings beat on October 24.  This means that P/E multiples have fallen sharply with a 2018 forward P/E now under 16.  CAT is now a relative bargain,  trading at a nearly 33% discount to the S&P 500 multiple of roughly 24.

Caterpillar Inc. to Announce First-Quarter 2018 Financial Results on April 24
Tue, 10 Apr 2018 13:00:00 +0000
DEERFIELD, Ill., April 10, 2018 /PRNewswire/ — Caterpillar Inc. (CAT) will release first-quarter 2018 financial results at 6:30 a.m. CDT on Tuesday, April 24. A real-time, listen-only teleconference and webcast of the quarterly results call that Caterpillar conducts with security analysts and institutional investors will begin at 10 a.m. CDT on Tuesday, April 24.

See what the IHS Markit Score report has to say about Caterpillar Inc.
Tue, 10 Apr 2018 12:00:14 +0000
Caterpillar Inc NYSE:CAT

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