Bank of America (BAC) Offering Possible 22.85% Return Over the Next 27 Calendar Days

Bank of America's most recent trend suggests a bearish bias. One trading opportunity on Bank of America is a Bear Call Spread using a strike $39.00 short call and a strike $44.00 long call offers a potential 22.85% return on risk over the next 27 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $39.00 by expiration. The full premium credit of $0.93 would be kept by the premium seller. The risk of $4.07 would be incurred if the stock rose above the $44.00 long call strike price.

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

The RSI indicator is at 41.24 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 Bank of America

Bank of America Declares Quarterly Stock Dividends
Thu, 22 Apr 2021 20:15:00 +0000
Bank of America Corporation today announced the Board of Directors declared a regular quarterly cash dividend on Bank of America common stock of $0.18 per share, payable on June 25, 2021 to shareholders of record as of June 4, 2021.

Rising Savings Are a Mixed Blessing for Banks
Wed, 21 Apr 2021 21:27:03 +0000
Savings increase bank deposits, but cut demand for consumer loans

12 Best Value Dividend Stocks to Buy Now According to Warren Buffett
Wed, 21 Apr 2021 14:11:02 +0000
In this article, we discussed the importance of dividend stocks for Berkshire Hathaway’s portfolio and examined the 12 best value dividend stocks to buy now according to Warren Buffett. Click to skip ahead to see the 5 Best Value Dividend Stocks to Buy Now According to Warren Buffett. The legendry value investor Warren Buffett’s investment […]

Were Hedge Funds Able To Catch The Bank of America Corporation (BAC) Train?
Wed, 21 Apr 2021 13:38:12 +0000
At Insider Monkey, we pore over the filings of nearly 887 top investment firms every quarter, a process we have now completed for the latest reporting period. The data we’ve gathered as a result gives us access to a wealth of collective knowledge based on these firms’ portfolio holdings as of December 31st. In this […]

Bank of America Announces Floating Rate Notes Issuance Referencing BSBY
Wed, 21 Apr 2021 12:30:00 +0000
Bank of America, N.A. announced today that it issued a $1 billion six-month floating rate bank note referencing the one-month tenor of the Bloomberg Short-Term Bank Yield IndexSM (BSBY) to multiple investors earlier this week. BSBY adheres to the International Organization of Securities Commissions’ (IOSCO) Principles for Financial Benchmarks and measures the average yields at which large, global banks access U.S. dollar unsecured wholesale funding. It is dynamic, credit sensitive and reflects marginal funding cost at overnight, one-month, three-month, six-month and twelve-month tenors.

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