Caterpillar (CAT) Offering Possible 6.84% Return Over the Next 30 Calendar Days

Caterpillar's most recent trend suggests a bullish bias. One trading opportunity on Caterpillar is a Bull Put Spread using a strike $200.00 short put and a strike $190.00 long put offers a potential 6.84% return on risk over the next 30 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $200.00 by expiration. The full premium credit of $0.64 would be kept by the premium seller. The risk of $9.36 would be incurred if the stock dropped below the $190.00 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 60.15 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

Here's Why You Should Hold on to Caterpillar (CAT) Stock Now
Mon, 16 Aug 2021 13:22:01 +0000
Favorable end-market demand, positive movement in earnings estimates, and higher-than-industry dividend yield make Caterpillar (CAT) stock worth retaining in the portfolio.

Caterpillar (NYSE:CAT) is Positioned to Benefit from the Massive Infrastructure Bill
Mon, 16 Aug 2021 10:19:19 +0000
Just days ago, the U.S. Senate passed the infrastructure bill, a fresh tailwind into the companies like Caterpillar Inc. (NYSE:CAT). Today we will examine its return on equity (ROE), as well as the latest developments to gauge how well is the largest maker of construction and mining equipment prepared to benefit from such opportunities.

3 High-Yield Dividend Stocks That Just Went on Sale
Sun, 15 Aug 2021 11:00:00 +0000
Stocks that pay dividends can be a great way to combine reliable returns with long-term upside. With that, we asked some of our contributors which dividend stocks they think are on sale now. Caterpillar (NYSE: CAT), 3M (NYSE: MMM), and American Electric Power (NASDAQ: AEP) caught their attention.

How to invest during economic uncertainty as Delta variant cases spike
Thu, 12 Aug 2021 19:14:51 +0000
The historically bearish month of August is presenting investors with unique challenges, as global economies struggle to reopen amid the surge in COVID-19 Delta variant cases. With return-to-office and back-to-school in flux, investors must navigate a changing macro landscape while handicapping how the Federal Reserve will respond to inflationary pressures and a soft but improving labor market. Liz Ann Sonders, Chief Investment Strategist at Charles Schwab, joins Yahoo Finance's Jared Blikre to break down various investing strategies and market approaches when risks are elevated, as well as how to think about market cycles in conjunction with economic cycles. Jared will also demonstrate how to leverage the power of Yahoo Finance Plus for market technicals, fundamentals and portfolio management. Not a subscriber? Start your free trial to join future webinars live!

Why Caterpillar (CAT) is a Top Stock for the Long-Term
Thu, 12 Aug 2021 13:30:01 +0000
Finding strong, market-beating stocks with a positive earnings outlook becomes easier with the Focus List, a top feature of the Zacks Premium portfolio service.

Related Posts

 

MarketTamer is not an investment advisor and is not registered with the U.S. Securities and Exchange Commission or the Financial Industry Regulatory Authority. Further, owners, employees, agents or representatives of MarketTamer are not acting as investment advisors and might not be registered with the U.S. Securities and Exchange Commission or the Financial Industry Regulatory.


This company makes no representations or warranties concerning the products, practices or procedures of any company or entity mentioned or recommended in this email, and makes no representations or warranties concerning said company or entity’s compliance with applicable laws and regulations, including, but not limited to, regulations promulgated by the SEC or the CFTC. The sender of this email may receive a portion of the proceeds from the sale of any products or services offered by a company or entity mentioned or recommended in this email. The recipient of this email assumes responsibility for conducting its own due diligence on the aforementioned company or entity and assumes full responsibility, and releases the sender from liability, for any purchase or order made from any company or entity mentioned or recommended in this email.


The content on any of MarketTamer websites, products or communication is for educational purposes only. Nothing in its products, services, or communications shall be construed as a solicitation and/or recommendation to buy or sell a security. Trading stocks, options and other securities involves risk. The risk of loss in trading securities can be substantial. The risk involved with trading stocks, options and other securities is not suitable for all investors. Prior to buying or selling an option, an investor must evaluate his/her own personal financial situation and consider all relevant risk factors. See: Characteristics and Risks of Standardized Options. The www.MarketTamer.com educational training program and software services are provided to improve financial understanding.


The information presented in this site is not intended to be used as the sole basis of any investment decisions, nor should it be construed as advice designed to meet the investment needs of any particular investor. Nothing in our research constitutes legal, accounting or tax advice or individually tailored investment advice. Our research is prepared for general circulation and has been prepared without regard to the individual financial circumstances and objectives of persons who receive or obtain access to it. Our research is based on sources that we believe to be reliable. However, we do not make any representation or warranty, expressed or implied, as to the accuracy of our research, the completeness, or correctness or make any guarantee or other promise as to any results that may be obtained from using our research. To the maximum extent permitted by law, neither we, any of our affiliates, nor any other person, shall have any liability whatsoever to any person for any loss or expense, whether direct, indirect, consequential, incidental or otherwise, arising from or relating in any way to any use of or reliance on our research or the information contained therein. Some discussions contain forward looking statements which are based on current expectations and differences can be expected. All of our research, including the estimates, opinions and information contained therein, reflects our judgment as of the publication or other dissemination date of the research and is subject to change without notice. Further, we expressly disclaim any responsibility to update such research. Investing involves substantial risk. Past performance is not a guarantee of future results, and a loss of original capital may occur. No one receiving or accessing our research should make any investment decision without first consulting his or her own personal financial advisor and conducting his or her own research and due diligence, including carefully reviewing any applicable prospectuses, press releases, reports and other public filings of the issuer of any securities being considered. None of the information presented should be construed as an offer to sell or buy any particular security. As always, use your best judgment when investing.