Costco (COST) Offering Possible 44.93% Return Over the Next 14 Calendar Days

Costco's most recent trend suggests a bearish bias. One trading opportunity on Costco is a Bear Call Spread using a strike $290.00 short call and a strike $295.00 long call offers a potential 44.93% return on risk over the next 14 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $290.00 by expiration. The full premium credit of $1.55 would be kept by the premium seller. The risk of $3.45 would be incurred if the stock rose above the $295.00 long call 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 41.23 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 Costco

PepsiCo, Constellation Brands, Costco earnings — What to know in markets Thursday
Thu, 03 Oct 2019 09:49:49 +0000
PepsiCo, Constellation Brands and Costco take the spotlight Thursday when they report earnings.

Will Costco (COST) Continue Its Run with Strong Q4 Earnings?
Wed, 02 Oct 2019 22:46:10 +0000
Costco (COST) is set to report their fourth quarter results after the closing bell on Thursday.

Costco earnings: Texas and Florida alone could get dozens more warehouses and it wouldn’t be enough
Wed, 02 Oct 2019 19:51:00 +0000
Costco is expected to report solid earnings, analysts say, and investors have questions about even more geographic growth.

Costco Finding Support; Earnings On Deck Tomorrow
Wed, 02 Oct 2019 16:42:10 +0000
Costco pulled back to its 50-day moving average where it's currently getting support. That also coincides with a 284.41 buy point. The discount retailers are filled with names showing relative strength right now. If a recession is on the horizon these can often offer opportunities or at least go down less. Earnings after the close tomorrow could fuel a move.

Day Ahead: Top 3 Things to Watch
Wed, 02 Oct 2019 16:36:00 +0000
Investing.com – Here’s a preview of the top 3 things that could rock markets tomorrow.

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