Covidien (COV) Offering Possible 12.36% Return Over the Next 26 Calendar Days

Covidien's most recent trend suggests a bullish bias. One trading opportunity on Covidien is a Bull Put Spread using a strike $85.00 short put and a strike $80.00 long put offers a potential 12.36% return on risk over the next 26 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $85.00 by expiration. The full premium credit of $0.55 would be kept by the premium seller. The risk of $4.45 would be incurred if the stock dropped below the $80.00 long put strike price.

The 5-day moving average is moving up which suggests that the short-term momentum for Covidien is bullish and the probability of a rise in share price is higher if the stock starts trending.

The 20-day moving average is moving up which suggests that the medium-term momentum for Covidien is bullish.

The RSI indicator is at 43.75 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 Covidien

Unexpected Obamacare boost
Mon, 27 Oct 2014 18:41:00 GMT

Covidien Launches Next-Generation SuperDimension™ Lung Navigation Software to Simplify Planning, Enhance Visualization During a Procedure
Mon, 27 Oct 2014 12:04:10 GMT
noodls – Company Delivers Latest Innovation Focused on Aiding in Diagnosis of Lung Cancer DUBLIN–(BUSINESS WIRE)–Oct. 27, 2014– Further underscoring its ongoing commitment to lung health, Covidien (NYSE:COV) …

Covidien Launches Next-Generation SuperDimension™ Lung Navigation Software to Simplify Planning, Enhance Visualization During a Procedure
Mon, 27 Oct 2014 12:00:00 GMT
Business Wire – Further underscoring its ongoing commitment to lung health, Covidien today unveiled a next-generation version of its superDimension™ Navigation System software. The upda

COVIDIEN PLC Files SEC form 8-K, Material Impairments
Fri, 24 Oct 2014 20:01:23 GMT

Covidien Joins Forces with the American Lung Association to Help Women Understand Their Increased Risk of Lung Cancer
Thu, 23 Oct 2014 11:36:19 GMT
noodls – Lung cancer is the number one cancer killer of women Sponsorship of American Lung Association LUNG FORCE initiative will help raise lung cancer awareness, change misconceptions DUBLIN, Ireland–(BUSINESS …

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