IBM Offering Possible 13.64% Return Over the Next 18 Calendar Days

IBM's most recent trend suggests a bearish bias. One trading opportunity on IBM is a Bear Call Spread using a strike $175.00 short call and a strike $185.00 long call offers a potential 13.64% return on risk over the next 18 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $175.00 by expiration. The full premium credit of $1.20 would be kept by the premium seller. The risk of $8.80 would be incurred if the stock rose above the $185.00 long call 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 below 20 which suggests that the stock is in oversold territory.

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 IBM

Microsoft CEO to focus on mobile, cloud technology
Wed, 05 Feb 2014 00:17:33 GMT
AP – As longtime Microsoft insider Satya Nadella takes the company's helm, he is declaring a new focus on a “mobile-first, cloud-first world.” So far, he only has the latter half of the formula figured …

Tableau Earnings Crush Views, Sales Growth Speeds Up
Tue, 04 Feb 2014 23:51:00 GMT
Investor's Business Daily – Tableau Earnings Crush Views, Sales Growth Speeds Up

IBM, Migros Test How Freezer Loads Could Balance the Grid
Tue, 04 Feb 2014 19:36:00 GMT
Forbes – A couple of months ago, I wrote about some of the experiments focused on using electric vehicles as a storage mechanism that could help balance power demand across the grid. IBM has been applying a similar idea in an industrial setting: It just released the results of a project called FlexLast […]

Speculation Builds Sony May Sell its Vaio PC Business to Lenovo
Tue, 04 Feb 2014 19:15:23 GMT
24/7 Wall St. – Sony Corp. (NYSE: SNE) says it’s not true, but investors and traders aren’t buying the company’s denial that it’s in talks either to sell its Vaio personal computer business to China’s Lenovo Group or …

How new CEO Nadella will affect Microsoft products, consumers
Tue, 04 Feb 2014 18:01:58 GMT

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