Dow Chemical (DOW) Offering Possible 16.28% Return Over the Next 19 Calendar Days

Dow Chemical's most recent trend suggests a bullish bias. One trading opportunity on Dow Chemical is a Bull Put Spread using a strike $52.50 short put and a strike $47.00 long put offers a potential 16.28% return on risk over the next 19 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $52.50 by expiration. The full premium credit of $0.77 would be kept by the premium seller. The risk of $4.73 would be incurred if the stock dropped below the $47.00 long put strike price.

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

The RSI indicator is at 67.76 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 Dow Chemical

China levies anti-dumping duties on chemical from U.S. and Europe
Tue, 03 Jun 2014 08:16:01 GMT
Reuters – China has begun levying an anti-dumping tax on a chemical imported from the European Union and the United States, the Commerce Ministry said on Tuesday, the latest in a string of issues that could fuel rising trade tensions. Trade ties have been strained by a series of dumping disputes, including a major one involving solar materials between China and the European Union. The ministry said China would impose duties of 27.6 percent on European exports of perchlorethylene, a chemical used in insect repellent and refrigerants, according to a statement on its website, www.mofcom.gov.cn The United States won a trade dispute with China last month over duties on U.S. exports of large cars and sport utility vehicles.

Final Glance: Chemicals companies
Mon, 02 Jun 2014 22:02:18 GMT

Final Glance: Chemicals companies
Mon, 02 Jun 2014 22:02:18 GMT

Dow Chemical Praises DOE's Proposal
Mon, 02 Jun 2014 20:30:07 GMT

Canadian Energy(TM) Installs Canada's First DOW POWERHOUSE(TM) Solar Shingle Roof
Mon, 02 Jun 2014 19:34:10 GMT
Marketwired – Canadian Energy made history this month when the renewable energy solutions provider installed the first DOW POWERHOUSE Solar Shingle system in Canada. The innovative solar roof will create annual savings …

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