Chesapeake Offering Possible 9.65% Return Over the Next 25 Calendar Days

Chesapeake's most recent trend suggests a bullish bias. One trading opportunity on Chesapeake is a Bull Put Spread using a strike $26.00 short put and a strike $21.00 long put offers a potential 9.65% return on risk over the next 25 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $26.00 by expiration. The full premium credit of $0.44 would be kept by the premium seller. The risk of $4.56 would be incurred if the stock dropped below the $21.00 long put strike price.

The 5-day moving average is moving up which suggests that the short-term momentum for Chesapeake 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 Chesapeake is bullish.

The RSI indicator is at 53.53 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 Chesapeake

Is Chesapeake Energy Corporation About to Repeat its Biggest Mistake?
Wed, 26 Feb 2014 00:02:00 GMT

Jefferies Values Chesapeake Oilfield Services at $2.5B
Tue, 25 Feb 2014 21:04:00 GMT

Chesapeake Energy Corporation Earnings: What to Expect Wednesday
Tue, 25 Feb 2014 17:01:56 GMT

Chesapeake Energy says pursuing strategic alternatives for oilfield services unit
Tue, 25 Feb 2014 13:43:45 GMT
Reuters – (Reuters) – Chesapeake Energy Corporation (CHK) said it is pursuing strategic alternatives for its oilfield services division, including an outright sale or a potential spin off to Chesapeake shareholders. Chesapeake Oilfield Services's (COS) operations are currently conducted through Chesapeake's wholly owned subsidiary, Chesapeake Oilfield Operating, L.L.C, the company said in a statement. In 2013, COS had revenue of about $2.2 billion, and its service offerings include drilling, hydraulic fracturing, oilfield rentals, rig relocation, and fluid handling and disposal. In addition to services performed for Chesapeake, about 35 percent of COS' marketable drilling rigs are currently working for third-party operators and COS intends to grow its third-party customer base as an independent provider of oilfield services.

Nat Gas Stocks ETF Tries to Play Catchup
Tue, 25 Feb 2014 12:30:10 GMT

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