Duke Energy (DUK) Offering Possible 9.89% Return Over the Next 27 Calendar Days

Duke Energy's most recent trend suggests a bearish bias. One trading opportunity on Duke Energy is a Bear Call Spread using a strike $85.00 short call and a strike $90.00 long call offers a potential 9.89% 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 $85.00 by expiration. The full premium credit of $0.45 would be kept by the premium seller. The risk of $4.55 would be incurred if the stock rose above the $90.00 long call strike price.

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

The RSI indicator is at 36.65 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 Duke Energy

Is Duke Energy (DUK) a Suitable Pick for Value Investors?
Thu, 20 Aug 2020 14:07:02 +0000
Let's see if Duke Energy (DUKE) stock is a good choice for value-oriented investors right now from multiple angles.

Duke Energy Progress extends commitment to diversity and inclusion to financial sector
Thu, 20 Aug 2020 13:53:00 +0000
Duke Energy Progress, a subsidiary of Duke Energy (NYSE: DUK), has successfully closed a $700 million debt offering with the help of seven diverse and minority-owned financial firms.

Duke Energy Renewables closes $109.4 million in a preferred tax equity funding from Goldman Sachs
Wed, 19 Aug 2020 15:44:00 +0000
Duke Energy Renewables, a subsidiary of Duke Energy (NYSE: DUK), today announced the closing of $109.4 million in a preferred tax equity funding from Goldman Sachs' Alternative Energy Investing Group.

Piedmont Natural Gas outlines flexible payment plans for customers behind on natural gas bills
Tue, 18 Aug 2020 19:37:00 +0000
Piedmont Natural Gas is resuming standard billing practices in the coming weeks in its service territories in North Carolina, South Carolina and Tennessee, offering plans and flexible options to help customers who are behind on their utility payments. Service disconnections for nonpayment will continue to be suspended until October 2020.

U.S. High-Grade Bond Sales Set Record, Reach $1.346 Trillion
Mon, 17 Aug 2020 19:16:02 +0000
(Bloomberg) — U.S. corporate investment-grade issuance reached a record $1.346 trillion Monday, surpassing 2017’s full-year total in less than eight months amid seemingly endless investor appetite following the Federal Reserve’s unprecedented steps to bolster liquidity.The Fed’s March pledge to use its near limitless balance sheet to buy corporate bonds has lifted nearly every corner of the market, allowing struggling cruise lines, plane makers and hotels to tap much needed financing while providing top-rated companies from Alphabet Inc. to Visa Inc. and Chevron Corp. access to some of the cheapest funding ever seen.Just five months ago, this kind of issuance was virtually unimaginable. The market was frozen as the coronavirus ravaged the U.S. and brought the economy to a standstill. But following the central bank’s intervention, demand quickly returned, and hasn’t waned since. The Bloomberg Barclays U.S. Aggregate Corporate index reached a record low 1.82% in early August, down from more than 4.5% in March.“Corporate treasurers got the bejesus scared out of them when the funding markets completely shut down in the third and fourth weeks of March,” Gregory Staples, head of fixed income at DWS Investment Management, said earlier Monday. “So there was the recognition that liquidity is very important and the markets may not be open forever.”A $6.5 billion debt offering from Intercontinental Exchange Inc. and 10 other deals helped secure the issuance record on Monday. The sale in five parts from the owner of the New York Stock Exchange will finance its acquisition of Ellie Mae Inc. Honeywell International Inc. and Duke Energy Corp. were also in the market.As 2020 enters the home stretch, there’s little sign the borrowing binge is slowing. Investors have poured over $100 billion into funds that buy high-grade bonds over the last 17 weeks, according to data from Refinitiv Lipper.And the cheaper borrowing costs are enticing American companies to return to credit markets two, three, even four times. Many are refinancing debt due in the coming months and years, taking advantage of the opportunity to extend their maturities.More than 30 borrowers priced deals last week, issuing almost $50 billion. DoubleLine Capital said it expects supply to reach $1.9 trillion before the year is out.Still, the barrage of issuance is starting to take its toll on returns, with high-grade bonds in the midst of their worst month since March. They lost 1.58% last week and are down 1.2% so far this month, on track for the first decline since the pandemic took hold and upended markets earlier this year.“With the debt that these companies have raised, you have to keep in mind that it does add cash to the balance sheet,” Barry McAlinden, senior fixed-income strategist at UBS Global Wealth Management, said Monday. “They’re still very prudent. The narrative isn’t that they’re being reckless at all in adding leverage to the balance sheet during uncertain times.”(Updates total issuance in headline, first paragraph, adds Monday issuance in fifth paragraph and quote at the end)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

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