Cummins Offering Possible 9.29% Return Over the Next 25 Calendar Days

Cummins's most recent trend suggests a bullish bias. One trading opportunity on Cummins is a Bull Put Spread using a strike $140.00 short put and a strike $130.00 long put offers a potential 9.29% return on risk over the next 25 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $140.00 by expiration. The full premium credit of $0.85 would be kept by the premium seller. The risk of $9.15 would be incurred if the stock dropped below the $130.00 long put strike price.

The 5-day moving average is moving up which suggests that the short-term momentum for Cummins 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 Cummins is bullish.

The RSI indicator is above 80 which suggests that the stock is in overbought territory.

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 Cummins

Guard to Visit Cummins Plants to Learn More About Company
Tue, 25 Feb 2014 17:35:03 GMT
noodls – COLUMBUS, Ind. – Cummins Inc. (NYSE: CMI) will host more than 60 members of the Indiana National Guard on Tuesday, Feb. 25, 2014, for a day of tours and presentations on the Company's products and processes …

Cummins Inc.: Undervalued Stock With High Growth Potential Part II
Tue, 25 Feb 2014 16:24:14 GMT

Tata Cummins Limited opens its third manufacturing facility in Phaltan
Tue, 25 Feb 2014 12:25:04 GMT
noodls – February 25, 2014 For Immediate Release Tata Cummins Limited (TCL) opens its third manufacturing facility in Phaltan TCL India MidRange Engine Plant to manufacture ISLe 8.9L engine for the first time in …

CUMMINS INC Financials
Sat, 22 Feb 2014 18:04:08 GMT

Obama Draws Mixed Response to Tighter Fuel Standards for Heavy Trucks
Sat, 22 Feb 2014 03:05:00 GMT

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