Coca Cola (KO) Offering Possible 6.84% Return Over the Next 15 Calendar Days

Coca Cola's most recent trend suggests a bearish bias. One trading opportunity on Coca Cola is a Bear Call Spread using a strike $39.50 short call and a strike $44.50 long call offers a potential 6.84% return on risk over the next 15 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $39.50 by expiration. The full premium credit of $0.32 would be kept by the premium seller. The risk of $4.68 would be incurred if the stock rose above the $44.50 long call strike price.

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

The RSI indicator is below 20 which suggests that the stock is in oversold territory.

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 Coca Cola

Berkshire profit soars 41 pct, helped by investment gains
Fri, 01 Aug 2014 21:09:08 GMT

Big Soda’s ‘Vinyl Records’ Moment: Coke Gets Back Into Glass Bottles
Fri, 01 Aug 2014 16:33:46 GMT

Coca Cola: Fighting the Obesity Challenge
Fri, 01 Aug 2014 16:08:49 GMT

Investor sees ceiling in Coca-Cola
Fri, 01 Aug 2014 16:02:26 GMT

Can Coke Fight Obesity By Making Soda a Treat?
Fri, 01 Aug 2014 13:06:44 GMT

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