IBM's most recent trend suggests a bullish bias. One trading opportunity on IBM is a Bull Put Spread using a strike $180.00 short put and a strike $170.00 long put offers a potential 7.18% return on risk over the next 38 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $180.00 by expiration. The full premium credit of $0.67 would be kept by the premium seller. The risk of $9.33 would be incurred if the stock dropped below the $170.00 long put strike price.
The 5-day moving average is moving up which suggests that the short-term momentum for IBM 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 IBM is bullish.
The RSI indicator is at 30.39 level which suggests that the stock is neither overbought nor oversold at this time.
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LATEST NEWS for IBM
Lenovo Working With Multiple U.S. Agencies on IBM, Motorola: CEO
Thu, 14 Aug 2014 02:48:42 GMT
Bloomberg – Lenovo Group Ltd. (992) Chief Executive Officer Yang Yuanqing said more negotiations are required with “multiple” U.S. government agencies as the Chinese company seeks approval for more than $5 billion in planned acquisitions. Lenovo still believes it can close the $2.3 billion purchase of International Business Machines Corp. (IBM)’s low-end server unit and the $2.91 billion purchase of Google Inc.’s Motorola Mobility unit this year as planned, Yang said in a phone interview today. “We are making progress, but we definitely still have some things to do with multiple government agencies,” Yang said without elaborating on the remaining issues. The IBM deal was expected to spark a close review partly because U.S. government agencies, including the Defense Department and the Department of Homeland Security , buy the IBM servers, according to an analysis by Bloomberg Intelligence.
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