Hewlett Packard Enterprise Comp (HPE) Showing Support Near $14.29
Jan 03, 2018 (Marketintelligencecenter.com via COMTEX News Network) -- For a hedged play on Hewlett Packard Enterprise Comp (HPE) MarketIntelligenceCenter.comaEUR(TM)s patented trade-picking algorithms selected a Aug 17, 2018 $14 covered call for a net debit in the $13.11 area. That is also the break-even stock price for the covered call. This trade will return 6.70%, or 10.83% annualized (for comparison purposes only), in 226 days. This covered call also provides 10.19% downside protection. A lower-cost play on Hewlett Packard Enterprise Comp would use a longer term call option in place of the long position in the stock. Look at the Jan 18, 2019 $10 call and the same sold call for a net debit of $3.56.This trade only has 7.18% downside protection, but the assigned return rate rises to 12.35% or an annualized rate of 19.96% (for comparison purposes only). The current 52-week low is $12.81 and the 52-week high is $24.88. Hewlett Packard Enterprise Comp stock has been showing support around $14.29 and resistance in the $14.79 range. The stock closed Jan 2, 2018's trading session at $14.60.A
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