Diamond Offshore (DO) Offering Possible 7.53% Return Over the Next 25 Calendar Days

Diamond Offshore's most recent trend suggests a bullish bias. One trading opportunity on Diamond Offshore is a Bull Put Spread using a strike $45.00 short put and a strike $40.00 long put offers a potential 7.53% 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 $45.00 by expiration. The full premium credit of $0.35 would be kept by the premium seller. The risk of $4.65 would be incurred if the stock dropped below the $40.00 long put strike price.

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

The RSI indicator is at 48.04 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 Diamond Offshore

Oil rigs: heavy water
Mon, 24 Mar 2014 17:23:51 GMT
Financial Times – Oil and water do not mix. However, offshore oil rigs and deepwater do, nicely. Thus there has been a gush of offshore rig demand in the past decade. The average day rate that oil companies pay for deepwater …

What the Market Is Clearly Missing About Ensco PLC
Thu, 20 Mar 2014 13:41:59 GMT

Dicker and Link: All Oil Services Stocks Are Not Created Equal
Wed, 19 Mar 2014 17:16:00 GMT

Transocean: Calling a Bottom
Wed, 19 Mar 2014 15:49:00 GMT

Diamond Offshore's March 2014 Fleet Status Report, And Why It Will Beat Earnings Again
Wed, 19 Mar 2014 15:37:43 GMT

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