Johnson & Johnson (JNJ) Offering Possible 14.94% Return Over the Next 11 Calendar Days

Johnson & Johnson's most recent trend suggests a bearish bias. One trading opportunity on Johnson & Johnson is a Bear Call Spread using a strike $101.00 short call and a strike $106.00 long call offers a potential 14.94% return on risk over the next 11 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $101.00 by expiration. The full premium credit of $0.65 would be kept by the premium seller. The risk of $4.35 would be incurred if the stock rose above the $106.00 long call strike price.

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

The RSI indicator is at 36.49 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 Johnson & Johnson

Inside Johnson & Johnson (08/05)
Wed, 06 Aug 2014 03:41:49 GMT

Ebola Has Landed
Tue, 05 Aug 2014 13:51:00 GMT

Johnson & Johnson Can Only Get Better When It Gets Cheaper
Tue, 05 Aug 2014 10:00:00 GMT

Amgen Cancer Drug Kyprolis Succeeds In Trial
Mon, 04 Aug 2014 14:56:00 GMT

Richard K. Matros, the President, CEO and Chairman of Sabra Health Care REIT, Inc. (SBRA), Interviews with The Wall Street Transcript
Mon, 04 Aug 2014 14:27:00 GMT

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