Caterpillar (CAT) Offering Possible 63.93% Return Over the Next 27 Calendar Days

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Caterpillar’s most recent trend suggests a bearish bias. One trading opportunity on Caterpillar is a Bear Call Spread using a strike $232.50 short call and a strike $237.50 long call offers a potential 63.93% 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 $232.50 by expiration. The full premium credit of $1.95 would be kept by the premium seller. The risk of $3.05 would be incurred if the stock rose above the $237.50 long call strike price.

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

The RSI indicator is at 42.18 level which suggests that the stock is neither overbought nor oversold at this time.

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LATEST NEWS for Caterpillar

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Caterpillar (CAT) Dips More Than Broader Markets: What You Should Know
Thu, 22 Apr 2021 21:45:09 +0000
Caterpillar (CAT) closed at $228.89 in the latest trading session, marking a -1.54% move from the prior day.

What’s in the Cards for Rockwell Automation’s (ROK) Q2 Earnings?
Thu, 22 Apr 2021 16:50:04 +0000
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Caterpillar (CAT) Earnings Expected to Grow: What to Know Ahead of Next Week’s Release
Thu, 22 Apr 2021 16:33:04 +0000
Caterpillar (CAT) possesses the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.

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