Covidien (COV) Offering Possible 5.26% Return Over the Next 33 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 5.26% return on risk over the next 33 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 $0.25 would be kept by the premium seller. The risk of $4.75 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 52.19 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

4:08 pm Covidien: study published in JACC CI demonstrates directional atherectomy effective as frontline therapy for peripheral arterial disease patients
Mon, 18 Aug 2014 20:08:00 GMT

Study Published in JACC CI Demonstrates Directional Atherectomy Effective as Frontline Therapy for Peripheral Arterial Disease Patients
Mon, 18 Aug 2014 20:05:00 GMT
Business Wire – Directional atherectomy is safe and effective as a frontline therapy for the treatment of peripheral arterial disease , according to a landmark Covidien study published online

M&A: When two companies love each other very much…
Thu, 14 Aug 2014 23:05:45 GMT

Harvard Management Co invested in Covidien in Q2 – filing
Wed, 13 Aug 2014 20:06:45 GMT
Reuters – Harvard Management Co, which oversees the Ivy League school's $32.7 billion endowment, took a new position in surgical device maker Covidien Plc during the second quarter before news of a planned takeover …

[$$] Medtronic's Tax Inversion Lesson
Wed, 13 Aug 2014 20:02:04 GMT

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