Caterpillar's most recent trend suggests a bullish bias. One trading opportunity on Caterpillar is a Bull Put Spread using a strike $144.00 short put and a strike $139.00 long put offers a potential 20.48% 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 $0.85 would be kept by the premium seller. The risk of $4.15 would be incurred if the stock dropped below the $139.00 long put strike price.
The 5-day moving average is moving up which suggests that the short-term momentum for Caterpillar 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 Caterpillar is bullish.
The RSI indicator is at 73.11 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 Caterpillar
The Evolving Earnings Picture
Wed, 06 Nov 2019 23:23:11 +0000
The Evolving Earnings Picture
Caterpillar's recent 'green shoots' makes BofA Merrill Lynch analyst more bullish
Wed, 06 Nov 2019 15:17:00 +0000
Bank of America Merrill Lynch analyst Ross Gilardi is now more bullish on Caterpillar Inc.'s stock , citing a number of "green shoots" over the last week suggesting a bottoming in the mining, construction and agricultural equipment maker's business. Gilardi reiterated his buy rating while raising his stock price target to $165 from $154. Among the reasons to be "more constructive" on Caterpillar are favorable inventory comments from Caterpillar's largest dealer, a rebound in Class 8 orders and the resilience of the U.S. service economy, which suggests the recession in U.S. manufacturing will be shallow and short-lived. However, Gilardi acknowledged that "it will all boil down to the signing (or not) of an interim U.S.-China trade deal." The stock has slipped 0.5% since closing Monday at a 13-month high. It has rallied 15.0% year to date, while the Dow Jones Industrial Average has advanced 17.9%.
Caterpillar Stock Is Skipping the Chrysalis and Going Right to a New Uptrend
Wed, 06 Nov 2019 10:28:00 +0000
In his “No-Huddle Offense” segment of Mad Money Tuesday night and in his Real Money column, Jim Cramer said he hates markets that surge higher for no reason, but in the case of the industrials, he thinks he knows why it's happening. Cramer said when Caterpillar Inc. reported hideous earnings, shares initially plunged $6, but now they're breaking out to the upside. Cramer said jumps in stock prices like this don't come from humans.
The 10 most FIRE-friendly places to live if you want to retire early
Tue, 05 Nov 2019 14:17:00 +0000
Short for Financial Independence, Retire Early, the FIRE movement finds its roots in the 1992 best-seller “Your Money or Your Life” by Joe Dominguez (a Wall Street financial analyst who — you guessed it — retired at 31) and Vicki Robin (who turned a modest inheritance into an income stream that allowed her to quit work at 23). As a result, “Knoxville is an easy place to live, to raise a family, or to retire,” she says.
The case that Japan secured a good trade deal with the US
Tue, 05 Nov 2019 11:49:22 +0000
Japan also believes it is doing well in trade, striking big pacts with the EU and the Trans-Pacific Partnership, but, as we discuss below in today’s main piece, the recent US deal is more controversial. Today’s chart of the day looks at Cameroon’s exports to the US after Donald Trump slapped trade restrictions on the country last week, while the obvious policy watch today is whether and when the US and China will sign their phase one agreement, potentially easing the recent trade wars.
Also on Market Tamer…
Follow Us on Facebook