Microsoft Offering Possible 7.99% Return Over the Next 8 Calendar Days

Microsoft's most recent trend suggests a bullish bias. One trading opportunity on Microsoft is a Bull Put Spread using a strike $37.50 short put and a strike $32.50 long put offers a potential 7.99% return on risk over the next 8 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $37.50 by expiration. The full premium credit of $0.37 would be kept by the premium seller. The risk of $4.63 would be incurred if the stock dropped below the $32.50 long put strike price.

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

The RSI indicator is below 20 which suggests that the stock is in oversold territory.

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LATEST NEWS for Microsoft

Microsoft XBox One, Sony PS4 Seen Fueling Video Games
Mon, 11 Nov 2013 15:14:00 GMT
Investor's Business Daily – Microsoft XBox One, Sony PS4 Seen Fueling Video Games

Why Microsoft’s Windows Phone Could Succeed
Mon, 11 Nov 2013 15:05:59 GMT
Motley Fool – While parts of its hardware strategy don't make much sense, Microsoft's acquisition of Nokia sets it up to be a profitable player in the handset business going forward.

Xbox One Versus PlayStation 4: Too Close to Call?
Mon, 11 Nov 2013 15:04:04 GMT
Wall St. Cheat Sheet – Sony and Microsoft are both releasing their next-generation gaming consoles this month, just in time for the 2013 holiday shopping season.

Seven Questions for Lance Crosby, CEO of SoftLayer, IBM's New Cloud Company
Mon, 11 Nov 2013 14:37:21 GMT
AllThingsD – Suddenly, Big Blue is kind of big in the cloud business.

Technology Stock Roundup: CSCO/MSFT Steal the Show
Mon, 11 Nov 2013 14:16:10 GMT
Zacks – Last week, Cisco launched its answer to SDN and Microsoft got a little closer to its next CEO.

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