CVS (CVS) Offering Possible 25% Return Over the Next 18 Calendar Days

CVS's most recent trend suggests a bearish bias. One trading opportunity on CVS is a Bear Call Spread using a strike $97.50 short call and a strike $103.00 long call offers a potential 25% 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 $97.50 by expiration. The full premium credit of $1.10 would be kept by the premium seller. The risk of $4.40 would be incurred if the stock rose above the $103.00 long call strike price.

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

The RSI indicator is below 20 which suggests that the stock is in oversold 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 CVS

CVS MinuteClinic Announces the Cure for the Common Wait as it Unveils a Digital Tool Allowing Patients to Hold a Place in Line
Fri, 27 May 2016 16:07:05 GMT
noodls – WOONSOCKET, R.I., May 26, 2016/PRNewswire/ — MinuteClinic, the retail medical clinic of CVS Health (NYSE: CVS) which operates more than 1,100 retail medical clinics in CVS Pharmacy and Target stores across …

CVS Health To Present At The Goldman Sachs 37th Annual Global Healthcare Conference
Fri, 27 May 2016 16:00:00 GMT
PR Newswire – WOONSOCKET, R.I., May 27, 2016 /PRNewswire/ — CVS Health Corporation (NYSE: CVS) today announced that Dave Denton, executive vice president and chief financial officer, will be speaking to investors at …

Better Buy: CVS Health Corporation vs. The Kroger Co.
Thu, 26 May 2016 20:20:00 GMT

Is CVS Correcting a Rally or Making a Top?
Thu, 26 May 2016 18:32:00 GMT

CVS Health Will Expand Access to Opioid Overdose-Reversal Drug for CVS Pharmacy Patients in Seven Additional States
Thu, 26 May 2016 17:17:07 GMT
noodls – WOONSOCKET, R.I., May 25, 2016/PRNewswire/ — CVS Health (NYSE: CVS) today announced it will expand access to the opioid overdose-reversal drug naloxone in seven additional states this summer, contributing …

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