Rowan Companies (RDC) Offering Possible 6.38% Return Over the Next 38 Calendar Days

Rowan Companies's most recent trend suggests a bearish bias. One trading opportunity on Rowan Companies is a Bear Call Spread using a strike $24.00 short call and a strike $29.00 long call offers a potential 6.38% return on risk over the next 38 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $24.00 by expiration. The full premium credit of $0.30 would be kept by the premium seller. The risk of $4.70 would be incurred if the stock rose above the $29.00 long call strike price.

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

The RSI indicator is at 27.21 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 Rowan Companies

Melvin: Now Is Not the Time to Panic, This Is a Small Bump
Wed, 15 Oct 2014 15:44:00 GMT

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Mon, 29 Sep 2014 15:16:00 GMT

ROWAN COMPANIES PLC Files SEC form 8-K, Regulation FD Disclosure, Financial Statements and Exhibits
Fri, 26 Sep 2014 10:01:38 GMT

Hammerstone Midday Look 9-24-2014
Wed, 24 Sep 2014 15:37:00 GMT

Offshore Drillers: Yes, It's Still Too Early
Wed, 24 Sep 2014 15:21:00 GMT

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