Costco (COST) Offering Possible 8.7% Return Over the Next 6 Calendar Days

Costco's most recent trend suggests a bearish bias. One trading opportunity on Costco is a Bear Call Spread using a strike $160.00 short call and a strike $165.00 long call offers a potential 8.7% return on risk over the next 6 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $160.00 by expiration. The full premium credit of $0.40 would be kept by the premium seller. The risk of $4.60 would be incurred if the stock rose above the $165.00 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 65.3 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

Costco Wholesale Corporation Election of New Chairman
Thu, 10 Aug 2017 23:43:56 +0000
ISSAQUAH, Wash., Aug. 10, 2017– Costco Wholesale Corporation today announced that Hamilton E. James has been elected as the Chairman of the Board of Directors. He is President, Chief Operating Officer …

Edited Transcript of COST earnings conference call or presentation 2-Mar-17 10:00pm GMT
Thu, 10 Aug 2017 14:24:51 +0000
Q2 2017 Costco Wholesale Corp Earnings Call

A 20-year-old woman is suing Costco over chicken salad she says triggered kidney failure and $2 million in medical bills
Wed, 09 Aug 2017 18:59:14 +0000
A 20-year-old is suing Costco after E. coli-tainted chicken from the retailer caused serious…

Top Gainers in the Consumer Sector on July 31–August 4
Wed, 09 Aug 2017 13:31:04 +0000
Kellogg (K) announced its results for fiscal 2Q17 on August 3, 2017. Net sales for the quarter fell 2.5% YoY (year-over-year) to $3.19 billion.

The Age of Amazon the Destroyer of All Things May Be Receding for Now, Jim Cramer Reveals
Tue, 08 Aug 2017 02:30:00 +0000
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