Merck (MRK) Offering Possible 5.49% Return Over the Next 9 Calendar Days

Merck's most recent trend suggests a bearish bias. One trading opportunity on Merck is a Bear Call Spread using a strike $56.50 short call and a strike $61.50 long call offers a potential 5.49% return on risk over the next 9 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $56.50 by expiration. The full premium credit of $0.26 would be kept by the premium seller. The risk of $4.74 would be incurred if the stock rose above the $61.50 long call strike price.

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

The RSI indicator is at 25.98 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 Merck

MERCK & CO. INC. Files SEC form 10-Q, Quarterly Report
Thu, 07 Aug 2014 21:04:51 GMT

Merck Serono Awards Innovation Cup and € 10,000 to Team Oncology for their Innovative Approach to Antibody-Drug Conjugates
Thu, 07 Aug 2014 17:10:54 GMT
noodls – News Release Amber Chase +1 – 774-257-8629 August 7, 2014  Merck Serono Innovation Cup 2014 awards novel idea for an innovative approach to antibody-drug conjugates that may fight cancer  Initiative …

Clearing FDA hurdles
Thu, 07 Aug 2014 10:51:00 GMT

SNB Trims Holdings in Apple, Exxon, J&J, SEC Filing Shows
Thu, 07 Aug 2014 10:45:14 GMT

The R&D Hall of Fame: Who makes the cut?
Wed, 06 Aug 2014 10:00:00 GMT

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