Monthly income seekers should close the position on KR as the stock has increased from the entry price of $24.12 to the closing price of $25.52. Investors will lock in a 2.1% return in 10 days for an annualized return of 76%.
Sell Put on The Kroger Company (KR)
STRATEGY: Look at the May 2018 24 cash-secured put trade. For each 100 shares of KR stock you want to control, sell one May 2018 24 put option for a $0.70 debit per option or better. That’s potentially a 3.0% return on the cash-secured put trade.
A “Double Bottom” chart pattern formed on The Kroger Co (KR on NYSE). This bullish signal indicates that the price may rise from the close of 24.58 to the range of 25.30 – 25.50. The pattern formed over 18 days which is roughly the period of time in which the target price range may be achieved. The Kroger Co has a current support price of 23.48 and a resistance level of 28.01.