Red Hat (RHT) Offering Possible 7.53% Return Over the Next 17 Calendar Days

Red Hat's most recent trend suggests a bearish bias. One trading opportunity on Red Hat is a Bear Call Spread using a strike $55.00 short call and a strike $60.00 long call offers a potential 7.53% return on risk over the next 17 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $55.00 by expiration. The full premium credit of $0.35 would be kept by the premium seller. The risk of $4.65 would be incurred if the stock rose above the $60.00 long call strike price.

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

The RSI indicator is at 30.91 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 Red Hat

NYSE stocks posting largest percentage decreases
Wed, 02 Apr 2014 22:15:55 GMT
AP – A look at the 10 biggest percentage decliners on New York Stock Exchange at 1 p.m.: Global Cash Access Holdings Inc. fell 15.7 percent to $6.69. International Game Technology fell 8.9 percent to $13.53. …

Red Hat Expands North American Sales and Channel Leadership Team
Wed, 02 Apr 2014 12:00:00 GMT
Business Wire – Red Hat, Inc. , the world’s leading provider of open source solutions, today announced the expansion of its North American sales leadership with three key appointments. Red Hat named D.

Red Hat CEO Jim Whitehurst to Deliver Keynote Address at The Cloud Factory
Wed, 02 Apr 2014 12:00:00 GMT
Business Wire – Red Hat, Inc. , the world’s leading provider of open source solutions, today announced that its president and CEO, Jim Whitehurst, will be delivering the opening remarks

Why I'm Drooling Over Red Hat Inc. Shares Today
Mon, 31 Mar 2014 23:31:59 GMT
Motley Fool – Red Hat shares plunged 7% on Friday, as investors skipped over a ton of good news to focus on soft margin guidance. One Fool is drooling over the shares right now.

IBM Executive Added to Red Hat Summit Keynote Lineup
Mon, 31 Mar 2014 19:37:00 GMT
Business Wire – Red Hat, Inc. , the world’s leading provider of open source solutions, today announced that Deepak Advani, general manager of Cloud and Smarter Infrastructure at IBM, will be this year's premier sponsor keynote speaker at Red Hat Summit 2014.

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