Merck (MRK) Offering Possible 8.93% Return Over the Next 7 Calendar Days

Merck's most recent trend suggests a bullish bias. One trading opportunity on Merck is a Bull Put Spread using a strike $56.50 short put and a strike $51.50 long put offers a potential 8.93% return on risk over the next 7 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $56.50 by expiration. The full premium credit of $0.41 would be kept by the premium seller. The risk of $4.59 would be incurred if the stock dropped below the $51.50 long put strike price.

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

The RSI indicator is at 74.25 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

2:41 am Merck to acquire Afferent Pharmaceuticals for upfront payment of $500 mlnin cash
Fri, 10 Jun 2016 06:41:00 GMT

Big Pharma bombshell: Judge finds Merck lied in patent trial, overturns $200-million verdict
Fri, 10 Jun 2016 01:58:00 GMT

Biotech vet hits jackpot again with $1.2 billion buyout of Peninsula company
Fri, 10 Jun 2016 00:53:54 GMT

Merck to purchase biotech Afferent for at least $500 million
Fri, 10 Jun 2016 00:47:39 GMT

[$$] Merck to Acquire Biotech Company Afferent
Thu, 09 Jun 2016 22:37:45 GMT

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