Goldman Sachs's most recent trend suggests a bullish bias. One trading opportunity on Goldman Sachs is a Bull Put Spread using a strike $235.00 short put and a strike $225.00 long put offers a potential 25.47% return on risk over the next 27 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $235.00 by expiration. The full premium credit of $2.03 would be kept by the premium seller. The risk of $7.97 would be incurred if the stock dropped below the $225.00 long put strike price.
The 5-day moving average is moving down which suggests that the short-term momentum for Goldman Sachs 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 up which suggests that the medium-term momentum for Goldman Sachs is bullish.
The RSI indicator is at 61.5 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 Goldman Sachs
Emmanuel Macron Has the Same Problem as King Louis XVI
Fri, 18 Dec 2020 08:00:35 +0000
(Bloomberg Opinion) — When King Louis XVI, his two brothers and his sister-in-law were inoculated against smallpox in 18th-century France, the public worried about the risks. Though the experiment was a success, even sparking a new type of hairstyle, the doubts never went away. As vaccines took off during the 19th century, the age of Pasteur, so did resistance, apathy and distrust.A similar challenge faces French President Emmanuel Macron, who’s holed up in the Elysee Palace after testing positive for Covid-19, triggering knock-on quarantines for several European leaders. He’s scrambling to prepare his country, exhausted by repeated lockdowns, for vaccines against SARS-CoV-2. Getting it right in France, where vaccine hesitancy is high and faith in institutions bruised, will be a critical test case for Europe.Much has been made of the European Union’s sluggishness in giving the green light for the first vaccine, lagging the U.K. and the U.S. After some arm-twisting from Germany, where the coronavirus’s second wave is taking a harsh toll, the bloc’s top drug supervisor looks set to approve the Pfizer-BioNTech vaccine on Dec. 21, a week earlier than planned. As a result, the first shots are now slated to be given on the continent before the year is out.But it’s only the beginning of the logistical complexity. While the EU has pre-ordered some 2 billion doses for its 450 million citizens, they won’t all arrive at once and they haven’t all been approved. French orders of the Pfizer vaccine run to about 45 million, which means around 22 million people can receive the two-shot course. That would cover all of France’s over-65s, but it’s only one-third of the population. Every dose will count, something made harder by the complex supply chain of this vaccine, requiring storage at minus 70 degrees Celsius, meaning a higher risk of doses accidently going to waste. What will really count here — as with other aspects of the Covid-19 fight — is having an efficient and effective public sector. But that hasn’t been entirely straightforward for Europe, even dirigiste France. The first wave in the spring exposed a lack of medical equipment such as face-masks; the second in the fall an inability to build an effective test-and-trace system. Years of centralization and budget cuts have eroded public services.Many countries, even Germany, have been humbled by the virus, but Macron’s advisers know there’s no room for error in the eyes of voters. That will mean enlisting support from tired medical personnel: Doctors will be the trusted first port of call, but also nurses and care workers, and later pharmacies, of which there are more than 21,000 in France.France’s biggest challenge, however, is convincing people to actually take the vaccine once it arrives. A recent Ipsos survey found that only 54% of French adults would be willing to get a Covid shot when it’s available, the lowest score of 15 countries. (The U.S. was second-to-last.) Another found only 19% of nursing-home workers are willing to get the shot. There are many factors at work, from frustration with a highly medicalized society that over-consumes antibiotics to doctors’ own regrettable ambivalence over mandatory vaccines. We don’t know how these surveys will translate to reality. But pro-vaccination campaigns need to be launched fast.That’s what makes the timing, and potentially the circumstances, of Macron’s Covid infection so unfortunate. With luck it won’t lead to any serious health effects, but it has already prompted debate over whether the president followed the rules strictly enough. On Wednesday, Macron dined with 11 political allies and figureheads, more than the government’s recommended maximum of six.The kerfuffle is providing fodder to his rivals on the far left and far right, who are grabbing airtime to cynically sow doubts over the efficacy of vaccines such as Pfizer’s, despite the evidence. It comes just as Macron’s approval ratings had begun to rebound, helped by a second lockdown that was less draconian than the first, yet which brought France’s daily death rate to below 6 per million from almost 10.In the larger scheme of things, today’s haggling over one or two weeks’ delay in approving vaccines may look quaint next year. Goldman Sachs estimates the U.K. will vaccinate half its population by March, while the EU, Japan and Australia will reach this level of immunization by May.But the stakes couldn’t be higher. Vaccines are critical for a return to some semblance of normality, and an economic recovery to go with it. France, and Europe, have big hurdles to clear.This column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Lionel Laurent is a Bloomberg Opinion columnist covering the European Union and France. He worked previously at Reuters and Forbes.For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Is The Biggest Bank Stock By Market Cap A Buy As Fed Keeps Easing?
Thu, 17 Dec 2020 18:36:50 +0000
JPMorgan Chase has the reputation of being the best-run banking giant. But is the stock a good buy right now?
Goldman Trading Bonus May Jump Nearly 20% After Year’s Windfall
Thu, 17 Dec 2020 13:03:07 +0000
(Bloomberg) — Goldman Sachs Group Inc. is planning to boost bonuses for the trading division by up to 20%, people familiar with the matter said, after the business reclaimed its stature as the firm’s golden goose.The fatter paychecks come on the back of a 49% jump in revenue following a sluggish decade for a group that was once the envy of Wall Street. Corners of trading, particularly in fixed income, could expect much bigger payouts as executives try to prevent rainmakers from being lured into the arms of deep-pocketed buy-side firms run by the likes of Ken Griffin, Izzy Englander and Steven Cohen.There will be greater divergence in payouts than in previous years, with some people potentially getting pay cuts despite generating more revenue, the people said, asking not to be identifed becasue bonus policies aren’t made public. Final numbers are still being ironed out and will depend on how well the firm avoids any setbacks in the final weeks.Goldman’s bonus decisions have been a touchy topic ever since the firm’s success through the 2008 financial crisis drew public attention. But this year, banks all along Wall Street saw staggering gains, giving powerhouses more cover to share spoils. JPMorgan Chase & Co. is boosting bonuses for its sales and trading workers 15% to 20%, people familiar with those talks have said.A representative for Goldman Sachs declined to comment.Within the markets division, traders who navigated the wild price moves will pocket much bigger rewards than salespeople who tend client relationships. While many salespeople succeeded in bringing in more business, some of that was by virtue of holding a Goldman business card, one senior executive said.Even still, the trading division will fare better than some insiders feared after a year in which Goldman pledged to cut costs and got slapped with penalties tied to Malaysia’s 1MDB investment-fund scandal. That contributed to more than $3 billion in legal provisions, which have shaved more than 5 percentage points off the bank’s return on equity.Executives have pointed to their relative wins, such as claiming a greater share of business amid the turmoil when clients sought the reassurance of dealing with a large counterpary. Managers insist those gains will persist even after the strains of the pandemic ease, with one executive saying no one will go back to flying a budget carrier after flying a flagship airline.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.
Should Goldman Sachs ActiveBeta U.S. Small Cap Equity ETF (GSSC) Be on Your Investing Radar?
Thu, 17 Dec 2020 11:20:11 +0000
Style Box ETF report for GSSC
Retailer Wish Drops in Trading Debut After IPO Spree
Thu, 17 Dec 2020 00:26:31 +0000
(Bloomberg) — Online retailer Wish fell 16% in its trading debut Wednesday, in a more muted start to life as a public company than for DoorDash Inc. and Airbnb Inc. last week.Shares of Wish opened at $22.75 apiece, below the $24 they were sold for in its $1.1 billion initial public offering. The shares closed at $20.05, giving the company a value of at roughly $14 billion on a fully diluted basis, which includes options and restricted stock units as well as the outstanding shares listed in its filings.Wish, the 31st on a U.S. exchange to exceed $1 billion this year, scored the worst debut of that group, according to data compiled by Bloomberg. Its listing follows last week’s blockbuster trading debuts by DoorDash and Airbnb. DoorDash soared 86% after its $3.14 billion offering, while Airbnb closed its first day up 113% after a $3.83 billion IPO including so-called greenshoe shares.Market volatility should be expected in the first few days and weeks of trading and won’t detract from the company’s long-term focus on serving bargain-hunters on a site designed for shopper discovery, Peter Szulczewski, chief executive officer of San Francisco-based Wish parent ContextLogic Inc., said in a Bloomberg TV interview.“We’re very much focused on the longer term,” Szulczewski said. “If we just focus on that, in the long run the markets will reward us.”Investor ‘Lesson’Shares of both DoorDash and Airbnb have fallen this week, which may have been a factor in the lukewarm reception for Wish, said Kathleen Smith, principal and manager of IPO exchange traded funds at Renaissance Capital. Smith said the performance of last week’s listings “teaches investors a lesson” about buying at the open.Wish is also part of a competitive landscape. While e-commerce stocks have traded well this year, some investors compare Wish to Amazon.con Inc., which Smith said has a similar growth rate. “If I can own Amazon, why should I own Wish?” she added.At its IPO price, Wish would trade at about four times its projected 2022 sales, according to a person familiar with the matter. Amazon trades at 3.6 times its 2021 sales estimates, according to data compiled by Bloomberg. EBay Inc. trades at 3.37 times the same metric. A representative for Wish declined to comment.Wish board member Hans Tung, a managing partner at GGV Capital, said he isn’t worried about competition with Amazon. “I made my living as a venture capitalist who bet on being anti-Amazon,” he said.Tung said he also wasn’t concerned about the the first day of trading. He noted that Peloton Interactive Inc., in which he was also an investor, fell in its debut last year and is now trading at more than four times its IPO price. GGV isn’t selling any shares in Wish, he said. Tung compared Wish to Pinduoduo Inc., the Chinese e-commerce company that has risen 665% since its 2018 U.S. debut. The strong stock market performance of brick-and-mortar chains Dollar General Corp. and Dollar Tree Inc. show the potential for the niche, he said.Record DecemberOnline lender Upstart Holdings Inc. rose 47% in its trading debut Wednesday after pricing its IPO at the bottom of a marketed range to raise $240 million. Upstart, based in San Mateo, California, closed its first day with a market value of $2.14 billion. More than $22 billion has now been raised in IPOs on U.S. exchanges in December — a record for the month. The 2020 total is now more than $174 billion, also an all-time high, the data show.Two other consumer-oriented, web-based companies, online video-game company Roblox Corp. and installment loans provider Affirm Holdings Inc., are also pursuing IPOs. Roblox told its employees that it was delaying its IPO until next year.Wish differentiates from other online retailers by focusing on value conscious consumers, according to its filings.Founded in 2010 by Szulczewski and Danny Zhang, who met at the University of Waterloo in Ontario, Canada, Wish connects sellers to potential buyers of everything from clothing to electronic goods and kitchenware. ContextLogic owns other online marketplaces, including Geek, Mama, Home and Cute, according to the Wish website.Sales, LossesWish’s losses, as well as its sales, have increased during the coronavirus pandemic, according to its filings. It had a net loss of $176 million on revenue of $1.7 billion during the first nine months of this year, compared with a net loss of $5 million on revenue of $1.3 billion during the same period in 2019.The offering was led by Goldman Sachs Group Inc., JPMorgan Chase & Co. and Bank of America Corp. The shares are trading on the Nasdaq Global Select Market under the symbol WISH.(Updates with Upstart Holdings value in 11th paragraph. The spelling of Wish in the headline was corrected in an earlier version of this story.)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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