Automatic Data (ADP) Offering Possible 5.26% Return Over the Next 7 Calendar Days

Automatic Data's most recent trend suggests a bullish bias. One trading opportunity on Automatic Data is a Bull Put Spread using a strike $144.00 short put and a strike $139.00 long put offers a potential 5.26% return on risk over the next 7 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $144.00 by expiration. The full premium credit of $0.25 would be kept by the premium seller. The risk of $4.75 would be incurred if the stock dropped below the $139.00 long put strike price.

The 5-day moving average is moving down which suggests that the short-term momentum for Automatic Data 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 up which suggests that the medium-term momentum for Automatic Data is bullish.

The RSI indicator is at 58.84 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 Automatic Data

A wave of bankruptcies, surging taxes, and Americans harboring lasting scars from coronavirus lockdowns — the head of world’s largest asset manager warns of grim outlook
Thu, 07 May 2020 03:56:00 +0000
The era of coronavirus has been a hard one on the American psyche but the CEO of one of the world’s largest asset managers cautions that everyone should brace for even rougher days ahead, as the U.S. attempts to emerge from the worst public-health crisis in more than a century.

Dow opens 160 points higher, aims for 3rd straight gain as ADP report shows 20.2 million job losses in April
Wed, 06 May 2020 13:38:00 +0000
U.S. on Wednesday opened modestly higher, as investors digested a report on private-sector employment, which underscored the damage of the coronavirus-induced lockdowns on jobs. Private-sector companies lost 20.2 million jobs in April, according to data from Automatic Data Processing Inc. . The report comes ahead of a more closely followed update on employment from the Labor Department on Friday. The Dow Jones Industrial Average rose 166 points, or 0.7%, at 24,049, the S&P 500 index added 0.7% at 2,889, while the Nasdaq Composite Index advanced 1% at 8,894. Gains for the main equity gauges would represent the third in a row. The unemployment rate has likely surged to the highest level on record – the MarketWatch forecast is 15% – from a mere 3.5% just two months ago.

ADP National Employment Report: Private Sector Employment Decreased by 20,236,000 Jobs in April; the April NER Utilizes Data Through April 12 and Does Not Reflect the Full Impact of COVID-19 on the Overall Employment Situation
Wed, 06 May 2020 12:15:00 +0000
Private sector employment decreased by 20,236,000 jobs from March to April according to the April ADP National Employment Report®. The report utilizes data through the 12th of the month. The NER uses the same time period the Bureau of Labor and Statistics uses for their survey. As such, the April NER does not reflect the full impact of COVID-19 on the overall employment situation.

Crude Oil Slumps After ADP Unemployment Release
Wed, 06 May 2020 09:04:26 +0000
Oil markets fell back Wednesday, as fresh evidence of the demand destruction caused by the coronavirus pandemic triggered a bout of profit-taking. At :9:20 AM ET (1320 GMT), U.S. crude futures traded 3.7% lower at $23.68 a barrel, while the international benchmark Brent contract fell 2.5% to $30.17. The U.S. private sector shed just over 20 million jobs in March, according to a report by payrolls processor ADP (NASDAQ:ADP), as measures to contain the coronavirus pandemic devastated the country's economy.

Day Ahead: Top 3 Things to Watch for May 6
Tue, 05 May 2020 18:24:53 +0000
By Kim Khan

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