Gamestop (GME) Offering Possible 9.89% Return Over the Next 8 Calendar Days

Gamestop's most recent trend suggests a bearish bias. One trading opportunity on Gamestop is a Bear Call Spread using a strike $42.00 short call and a strike $47.00 long call offers a potential 9.89% return on risk over the next 8 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $42.00 by expiration. The full premium credit of $0.45 would be kept by the premium seller. The risk of $4.55 would be incurred if the stock rose above the $47.00 long call strike price.

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

The RSI indicator is at 66.67 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 Gamestop

GameStop Could Have a New Weapon Against Digital Video Game Downloads
Sun, 13 Jul 2014 14:32:15 GMT

Best Buy's Decline Not Complete
Sun, 13 Jul 2014 09:20:42 GMT

Why GameStop Could Soon Get Exclusive Video Game Content
Fri, 11 Jul 2014 22:08:30 GMT

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Fri, 11 Jul 2014 17:00:15 GMT

Is GameStop Corp's New Strategy an Answer to its Problems?
Fri, 11 Jul 2014 16:02:11 GMT

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