Baidu (BIDU) Offering Possible 56.25% Return Over the Next 20 Calendar Days

Baidu's most recent trend suggests a bearish bias. One trading opportunity on Baidu is a Bear Call Spread using a strike $265.00 short call and a strike $270.00 long call offers a potential 56.25% return on risk over the next 20 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $265.00 by expiration. The full premium credit of $1.80 would be kept by the premium seller. The risk of $3.20 would be incurred if the stock rose above the $270.00 long call strike price.

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

The RSI indicator is at 63.84 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 Baidu

Baidu revenue outlook hit by Congress meeting, shares plummet
Fri, 27 Oct 2017 07:30:50 +0000
Chinese search engine giant Baidu Inc offered a disappointing revenue outlook for the rest of the year, blaming lost advertising sales during this month's Communist Party Congress and sending its shares sliding. Baidu, which is seeking to get back on a firmer footing after a series of setbacks, said it had reined in marketing to show respect as Beijing held the sensitive gathering where it reaffirmed the position of President Xi Jinping. Baidu's U.S.-listed shares plummeted more than 10 percent in extended trading, highlighting concerns over the firm's prospects as it looks to reshape its business around artificial intelligence and autonomous driving.

Factbox: Six self-driving unicorns top $1 billion in valuation
Fri, 27 Oct 2017 05:53:34 +0000
(Reuters) – In a crowded field of more than 240 startups in self-driving cars, six companies — four of them in Silicon Valley — have achieved unicorn status, with valuations of $1 billion or more, according …

Is Amazon too reliant on this one sector?
Fri, 27 Oct 2017 05:24:00 +0000
Amazon may be losing money in retail but its cloud computing platform is driving growth, explains Patrick Moorhead of Moor Insights & Strategy.

[$$] Baidu's Profit More Than Doubles, but Guidance Falls Short
Fri, 27 Oct 2017 04:42:16 +0000
Baidu Inc.’s big jump in profit didn’t please investors, who reacted sourly to missed revenue estimates and sent shares of its American depositary receipts tumbling 10% to $234 after hours.

Nasdaq, S&P 500 Futures Pop As These 2 FANG Stocks Signal Buys
Fri, 27 Oct 2017 03:58:11 +0000
Stock futures rallied late Thursday, fueled by earnings-related gains in Amazon, Google-parent Alphabet, Microsoft and many others. But Baidu was among several after-hours losers.

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