Southwest (LUV) Offering Possible 18.28% Return Over the Next 13 Calendar Days

Southwest's most recent trend suggests a bullish bias. One trading opportunity on Southwest is a Bull Put Spread using a strike $52.00 short put and a strike $46.50 long put offers a potential 18.28% return on risk over the next 13 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $52.00 by expiration. The full premium credit of $0.85 would be kept by the premium seller. The risk of $4.65 would be incurred if the stock dropped below the $46.50 long put strike price.

The 5-day moving average is moving up which suggests that the short-term momentum for Southwest is bullish and the probability of a rise in share price is higher if the stock starts trending.

The 20-day moving average is moving up which suggests that the medium-term momentum for Southwest is bullish.

The RSI indicator is at 73.71 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 Southwest

American's cancellation rate improves, but still lags behind competitors
Thu, 05 Sep 2019 18:39:39 +0000
American Airlines' cancellation rate improved in August, but still lagged behind other major U.S. carriers, according to data from airline analytics firm OAG. American Airlines Group, Inc. (Nasdaq: AAL) cancelled 2.7 percent of its flights last month, which is an improvement from the beginning of the summer. United Airlines Holdings, Inc. (Nasdaq: UAL) recorded a cancellation rate of 2.1 percent, Southwest Airlines Co. (NYSE: LUV) recorded a 1.3 percent rate and Delta Air Lines, Inc. (NYSE: DAL) continued its reliable operation with a 0.9 percent cancellation rate.

Boeing Stock Slid on Fears of Delayed 737 MAX Return
Wed, 04 Sep 2019 19:55:10 +0000
Boeing (BA) stock fell nearly 3% yesterday following a report that sparked fears of further delays to the 737 MAX's return to the skies.

Airline to build maintenance base at RDU, plots hires of technicians, pilots, attendants
Wed, 04 Sep 2019 18:45:24 +0000
A regional airline under the Delta Air Lines umbrella is bringing a “maintenance base” to the Triangle to support Raleigh Durham International Airport. The news, confirmed by Delta spokeswoman Catherine Simmons, comes as Delta restructures its carrier relationships, putting more emphasis on Endeavor Air – which the Atlanta-based airline already owns. As part of the restructuring, Delta is moving from five to three regional carriers – shifting much of the local passenger burden to Endeavor, she says.

Delta (DAL) Cancels Numerous Flights Due to Hurricane Dorian
Wed, 04 Sep 2019 16:03:05 +0000
Delta (DAL) issues travel waivers across Florida, Coastal Georgia, the Carolinas and the Bahamas as Hurricane Dorian strikes.

Boeing 737 MAX Update: IATA Expresses Concerns
Wed, 04 Sep 2019 14:38:22 +0000
IATA CEO Alexandre de Juniac has expressed concerns about a rift among global airline regulators over the approval Boeing’s (BA) 737 MAX's return to service.

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