Illinois Tool (ITW) Offering Possible 5.63% Return Over the Next 31 Calendar Days

Illinois Tool's most recent trend suggests a bullish bias. One trading opportunity on Illinois Tool is a Bull Put Spread using a strike $82.50 short put and a strike $75.00 long put offers a potential 5.63% return on risk over the next 31 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $82.50 by expiration. The full premium credit of $0.40 would be kept by the premium seller. The risk of $7.10 would be incurred if the stock dropped below the $75.00 long put strike price.

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

The RSI indicator is at 59.18 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 Illinois Tool

Steady Guidance Helps Brace Industrial ETFs
Wed, 22 Oct 2014 14:30:46 GMT

Illinois Tool Works (ITW) Earnings Report: Q3 2014 Conference Call Transcript
Tue, 21 Oct 2014 23:02:00 GMT

Illinois Tool Works
Tue, 21 Oct 2014 22:56:00 GMT

Cramer: What could send industrials higher
Tue, 21 Oct 2014 22:15:00 GMT

Why Illinois Tool Works (ITW) Stock Is Climbing Today
Tue, 21 Oct 2014 19:36:00 GMT

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