CVS (CVS) Offering Possible 38.89% Return Over the Next 16 Calendar Days

CVS's most recent trend suggests a bearish bias. One trading opportunity on CVS is a Bear Call Spread using a strike $71.50 short call and a strike $76.50 long call offers a potential 38.89% return on risk over the next 16 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $71.50 by expiration. The full premium credit of $1.40 would be kept by the premium seller. The risk of $3.60 would be incurred if the stock rose above the $76.50 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 at 24.03 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 CVS

All those big health-care mergers may mean financial risk is getting concentrated
Mon, 29 Oct 2018 19:02:00 +0000
Just ten companies account for half of the investment-grade health care bonds outstanding, a new report found.

CVS expands Hispanic-focused stores to Texas, including 3 in Houston area
Mon, 29 Oct 2018 17:02:35 +0000
The stores offer bilingual signage and staff as well as more than 1,500 products from Hispanic brands such as El Mexicano, Fiesta Spices, Jarritos, Pinalen, Picot, Foca and Ricitos de Oro.

The bigger message behind Amgen’s decision to slash cost of its Repatha cholesterol drug
Mon, 29 Oct 2018 15:24:00 +0000
Drug companies look to haggle less and sell more, and that could cost Express Scripts, CVS Health and UnitedHealth.

Dow clawing back earlier losses after S&P dips into correction territory
Fri, 26 Oct 2018 18:29:36 +0000
Yahoo Finance's Seana Smith and Jared Blikre on the biggest headlines moving the markets in afternoon trading.

CVS Health Corporation To Hold Third Quarter 2018 Conference Call
Fri, 26 Oct 2018 16:00:00 +0000
WOONSOCKET, R.I., Oct. 26, 2018 /PRNewswire/ — CVS Health Corporation (NYSE: CVS) will be holding a conference call on Tuesday, November 6, 2018 , at 8:30 a.m. (ET) with analysts and investors to discuss …

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