Netflix (NFLX) Offering Possible 45.73% Return Over the Next 8 Calendar Days

Netflix's most recent trend suggests a bearish bias. One trading opportunity on Netflix is a Bear Call Spread using a strike $125.71 short call and a strike $131.00 long call offers a potential 45.73% return on risk over the next 8 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $125.71 by expiration. The full premium credit of $1.66 would be kept by the premium seller. The risk of $3.63 would be incurred if the stock rose above the $131.00 long call strike price.

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

The RSI indicator is at 55.41 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 Netflix

[$$] Netflix: Such a Thing as Too Much Information
Thu, 10 Dec 2015 05:18:34 GMT
The Wall Street Journal – Netflix’s investors may be better off not knowing how many people are watching its shows.

Atlassian's Nasdaq IPO wows investors
Thu, 10 Dec 2015 01:24:38 GMT
Financial Times – Australian software company Atlassian has scored a rare victory in a weak US listings market: achieving a higher than expected price for its initial public offering on the Nasdaq exchange. The company, …

Netflix Is Now on Apple’s iPhone
Thu, 10 Dec 2015 01:04:38 GMT

Internet-Connected Devices, Streaming Boxes Boost Netflix Usage
Thu, 10 Dec 2015 01:04:36 GMT

[$$] Netflix: Such a Thing as Too Much Information
Wed, 09 Dec 2015 23:32:23 GMT
The Wall Street Journal – Netflix’s investors may be better off not knowing how many people are watching its shows.

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