IBM Offering Possible 7.76% Return Over the Next 17 Calendar Days

IBM's most recent trend suggests a bearish bias. One trading opportunity on IBM is a Bear Call Spread using a strike $180.00 short call and a strike $190.00 long call offers a potential 7.76% return on risk over the next 17 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $180.00 by expiration. The full premium credit of $0.72 would be kept by the premium seller. The risk of $9.28 would be incurred if the stock rose above the $190.00 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

International Business Machines' Management Presents at 2013 Credit Suisse Technology Conference (Transcript)
Wed, 04 Dec 2013 23:53:06 GMT
Seeking Alpha – My name is Kulbinder Garcha. I cover IT Hardware for CS and we are very pleased to have from IBM, Dr. John Kelly, who is the SVP and Director of Research for the company.

How IBM bypasses bureaucratic purgatory
Wed, 04 Dec 2013 19:45:00 GMT
Fortune – FORTUNE — Late last year, Ryan Hutton had what he thought was a bright idea. The IBM project manager thought it would be great to build a cloud-based web application that would give any IBM (IBM) employee …

IBM’s Big Plans for Cloud Computing
Wed, 04 Dec 2013 19:24:42 GMT
New York Times – The company plans to introduce a slew of new products and services to its cloud computing offerings in 2014.

Edward Snowden, Economic Reforms Complicate Silicon Valley's China Challenge
Wed, 04 Dec 2013 16:40:00 GMT
TheStreet – Competing in China is difficult enough but Cisco and IBM are also having to withstand the backlash from recent spy scandals and the uncertainty of a new-round of economic reforms.

Morning Dow Report: Can These Tech Giants Save the Market?
Wed, 04 Dec 2013 16:10:17 GMT
Motley Fool – The Dow climbed this morning as tech stocks Microsoft, Intel, and IBM all performed well. Can tech stocks prevent a looming correction?

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