Discover (DFS) Offering Possible 8.7% Return Over the Next 22 Calendar Days

Discover's most recent trend suggests a bullish bias. One trading opportunity on Discover is a Bull Put Spread using a strike $65.50 short put and a strike $60.50 long put offers a potential 8.7% return on risk over the next 22 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $65.50 by expiration. The full premium credit of $0.40 would be kept by the premium seller. The risk of $4.60 would be incurred if the stock dropped below the $60.50 long put strike price.

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

The RSI indicator is at 56.42 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 Discover

Pro says ‘patient money, smart money' in energy
Thu, 18 Dec 2014 20:04:00 GMT

FIDO Ready(TM) Products at the 2015 International Consumer Electronics Show
Thu, 18 Dec 2014 15:00:00 GMT
Marketwired – CES — The FIDO Alliance , an industry consortium revolutionizing online authentication with the first standards-based specifications, today announced FIDO Ready™ products on display at the 2015 International …

TABLE-Delinquency rates fall at major U.S. banks in November
Mon, 15 Dec 2014 22:45:56 GMT
Reuters – A majority of big U.S. banks reported a fall in delinquency rates for the month of November as customers made their credit card payments on time. Charge-offs rose at these banks. Net charge off rate Delinquency …

DISCOVER FINANCIAL SERVICES Files SEC form 8-K, Regulation FD Disclosure, Financial Statements and Exhibits
Mon, 15 Dec 2014 13:18:53 GMT

Discover to Spend More Than $35 Million on New Cards With Chips
Wed, 10 Dec 2014 14:24:41 GMT

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