Colgate Offering Possible 8.46% Return Over the Next 22 Calendar Days

Colgate's most recent trend suggests a bearish bias. One trading opportunity on Colgate is a Bear Call Spread using a strike $62.50 short call and a strike $67.50 long call offers a potential 8.46% return on risk over the next 22 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $62.50 by expiration. The full premium credit of $0.39 would be kept by the premium seller. The risk of $4.61 would be incurred if the stock rose above the $67.50 long call strike price.

The 5-day moving average is moving down which suggests that the short-term momentum for Colgate 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 Colgate 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 Colgate

Do Not Overlook Colgate-Palmolive's Strong Fourth-Quarter Report
Sat, 01 Feb 2014 19:08:43 GMT

Roof Leaker To Watch: Colgate-Palmolive Company (CL)
Fri, 31 Jan 2014 14:46:00 GMT

7:10 am Colgate-Palmolive beats by $0.01, reports revs in-line
Thu, 30 Jan 2014 20:57:36 GMT

Colgate's profit beats estimates due to cost cuts
Thu, 30 Jan 2014 18:29:32 GMT

Colgate-Palmolive's Exposure to Emerging Markets Worries Investors
Thu, 30 Jan 2014 18:23:01 GMT

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