Intel Corp (NASDAQ: INTC)

Market sentiment: bullish

Better earning, Good news

Intel Corp, the world’s biggest microchip producer shares are trading higher and continue its uptrend because of upbeat outlook for current quarter and 25% profit jump in second quarter. It also signed a draft deal with the Portuguese government to make 500,000 cheap portable computers for schools. Intel Chairman Craig Barrett said on Wednesday that he expects no slowdown in global demand for personal computers despite economic problems in the United States and in other countries.
If this stock won’t go down in couple of months, then it could be a good time to play bullish hedge trade.

After diving down to $19.72 in 10th July, this stock is trading higher from past 2 weeks. This stock chart patterns looks bullish in mid-term time period. The reasons are:

Up volume is more than down volume and RSI is 55. This shows buying pressure is high.
Price is trading above EMA (14), EMA (50) and mid Bollinger band.
Price above EMA’s and 50 and 14 EMA cross over shows that midterm trend is higher
If a pitchfork is drawn by taking $18.25(25th Jan data), $19.70 (11th July data) and £25.37 (20 May data) points, then is clear that price is following upward pitch fork with lower arm giving support.
Price has found support at 78.6% Fibonacci retracement of line connecting $18.05 and $25.25

Keeping the above technical and fundamental reasons, this could be a good time to do September bull-put credit spread below $20. This trade will make 14% return in eight weeks as long as INTC stays above $20 at September expiration.