Ctrip (CTRP) Offering Possible 21.74% Return Over the Next 18 Calendar Days

Ctrip's most recent trend suggests a bearish bias. One trading opportunity on Ctrip is a Bear Call Spread using a strike $48.00 short call and a strike $55.00 long call offers a potential 21.74% return on risk over the next 18 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $48.00 by expiration. The full premium credit of $1.25 would be kept by the premium seller. The risk of $5.75 would be incurred if the stock rose above the $55.00 long call strike price.

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

The RSI indicator is at 22.56 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 Ctrip

Why Priceline expects mobile bookings to catalyze growth
Tue, 29 Apr 2014 21:00:19 GMT

Why Priceline sees competition in the metasearch space
Tue, 29 Apr 2014 17:00:14 GMT

Ctrip Invests In Tongcheng: Complicated But Eases Competition, Says Barclays
Tue, 29 Apr 2014 15:23:00 GMT
Barrons.com – China's largest online travel agency Ctrip.com (CTRP) spent $200 million in a strategic stake in Tongcheng, which operates an online ticketing site LY.com. After the $200 million cash injection, Ctrip will become Tongcheng's second largest shareholder after the company management. This investment will result in a tricky shareholding structure, commented Barclays analysts Alicia Yap, Anand Ramachandran, Joyce Zhou and Gregory Zhao, not in the least because Tencent is a major shareholder: On 9 April 2014, eLong (LONG), the key OTA competitor to Ctrip, officially announced that it had entered into a strategic cooperation agreement with Tongcheng to be the exclusive provider of agency hotel and group-buy hotel inventory for Tongcheng in China.

Ctrip Ties With Tongcheng, Eyes Tuniu
Tue, 29 Apr 2014 12:17:26 GMT

9:45 am Ctrip.com announces investment in LY.com
Mon, 28 Apr 2014 13:45:00 GMT

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