Costco (COST) Offering Possible 36.99% Return Over the Next 22 Calendar Days

Costco's most recent trend suggests a bullish bias. One trading opportunity on Costco is a Bull Put Spread using a strike $297.50 short put and a strike $292.50 long put offers a potential 36.99% return on risk over the next 22 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $297.50 by expiration. The full premium credit of $1.35 would be kept by the premium seller. The risk of $3.65 would be incurred if the stock dropped below the $292.50 long put strike price.

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

The RSI indicator is at 41.51 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 Costco

Here are 9 hand sanitizers that the FDA warns can be toxic if absorbed by the body
Wed, 24 Jun 2020 01:37:00 +0000
The Food and Drug Administration over the weekend issued a warning on nine alcohol-based hand sanitizers manufactured by Eskbiochem SA de CV in Mexico that it says contain wood methanol, a toxic substance that could ultimately result in death of absorbed through the skin or ingested.

Shoppers will pay more for the same item online versus in stores under new COVID-19 conditions, experts say
Mon, 22 Jun 2020 20:41:00 +0000
With margins in trouble across retail, some experts say a pricing strategy that makes items more expensive when bought online or in stores is a smart way to go.

5 Popular Defensive Stocks
Mon, 22 Jun 2020 14:48:41 +0000
Costco tops the list Continue reading…

Costco prepares to bring back a customer favorite: free food samples
Sat, 20 Jun 2020 07:38:13 +0000
Many retailers are easing restrictions inside stores as states begin to reopen after shutting down due to the coronavirus pandemic.

What to Do with Costco (COST) Stock?
Fri, 19 Jun 2020 14:58:06 +0000
Saturna Capital Corporation is the investment management company of Sextant Mutual Funds. Sextant Mutual Funds recently released Q1 2020 Investor Letter, a copy of which you can download here. The Sextant Growth Fund posted a return of -15.13% for the quarter, outperforming its benchmark, the S&P 500 Index which returned -19.60% in the same quarter. […]

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