Pepsico (PEP) Offering Possible 7.3% Return Over the Next 33 Calendar Days

Pepsico's most recent trend suggests a bearish bias. One trading opportunity on Pepsico is a Bear Call Spread using a strike $97.50 short call and a strike $105.00 long call offers a potential 7.3% return on risk over the next 33 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $97.50 by expiration. The full premium credit of $0.51 would be kept by the premium seller. The risk of $6.99 would be incurred if the stock rose above the $105.00 long call strike price.

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

The RSI indicator is at 25.05 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 Pepsico

Understanding PepsiCo’s segments
Mon, 15 Dec 2014 21:01:33 GMT

PepsiCo’s three-channel distribution network
Mon, 15 Dec 2014 17:00:22 GMT

Understanding PepsiCo’s business model
Mon, 15 Dec 2014 13:00:34 GMT

PepsiCo: A company overview
Fri, 12 Dec 2014 20:39:56 GMT

Savills quenches Pepsi's thirst for Thames Valley
Fri, 12 Dec 2014 15:46:28 GMT
noodls – The corporate real estate team, on behalf of Pepsico, has completed a 105,000 sq ft (9,755 sq m) headquarters acquisition at Oxford Properties' Green Park in Reading, the largest office leasing deal in …

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