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

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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.

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LATEST NEWS for Bank of America

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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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