Caterpillar (CAT) Offering Possible 61.29% Return Over the Next 28 Calendar Days

Caterpillar's most recent trend suggests a bearish bias. One trading opportunity on Caterpillar is a Bear Call Spread using a strike $195.00 short call and a strike $200.00 long call offers a potential 61.29% return on risk over the next 28 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $195.00 by expiration. The full premium credit of $1.90 would be kept by the premium seller. The risk of $3.10 would be incurred if the stock rose above the $200.00 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 76.23 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

15 Largest Industrial Companies In The US
Sun, 17 Jan 2021 09:24:31 +0000
In this article we are going to list the 15 largest industrial companies in the US. Click to skip ahead and jump to the 5 largest industrial companies in the US. Before we get started, let’s first try to understand what an industrial company is. After all, all companies operate in either individual or multiple […]

Caterpillar (CAT) Dips More Than Broader Markets: What You Should Know
Fri, 15 Jan 2021 22:50:10 +0000
In the latest trading session, Caterpillar (CAT) closed at $194.62, marking a -1.41% move from the previous day.

Caterpillar Inc. to Announce Fourth-Quarter and Full-Year 2020 Financial Results on January 29
Fri, 15 Jan 2021 14:00:00 +0000
Caterpillar Inc. (NYSE: CAT) will release fourth-quarter and full-year 2020 financial results at 5:30 a.m. CST on Friday, January 29. The release will be available at investors.caterpillar.com/financials/quarterly-results and the full text of the news release will also be available on PR Newswire at approximately 5:30 a.m. CST. The news release will be furnished to the U.S. Securities and Exchange Commission (SEC) via a Current Report on Form 8-K in compliance with applicable SEC rules.

Caterpillar, Deere Flaunt Robotic Vehicles For Mining, Farming At CES 2021
Thu, 14 Jan 2021 21:48:24 +0000
Heavy-equipment makers Caterpillar and Deere exhibited at the virtual CES 2021 trade show to show off their technological prowess and to help with employee recruiting and partnerships.

Companies donated $170M to GOP election objectors: RPT
Thu, 14 Jan 2021 20:44:23 +0000
Public Citizen's Research Director Mike Tanglis joined Yahoo Finance Live to discuss how $170 million was donated by companies to GOP election objectors and what this means for these politicians moving forward. 

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