Break support line or retracePlace a long stop order above 57.39 to catch the break-out or if it retraces, place a short stop order at 56.80. With weak support on the retrace and a higher previous peak, my guess is a break-out.
WFC trade ideas
Wells Fargo trading near support at 44.00Technically Speaking
For now, the stock is holding the 44ish level. That level has held as support on a few occasions, see chart.
The next support level is the 40ish level.
A break under the later and it could get pretty hairy.
If long or looking to get long, I would stop out somewhere under the 40 level.
Fundamentals
Hello, in case you have not been paying attention, this company has been getting killed in the media, rightly so, in my opinion.
Is the scandal so bad it will permanently damage the business? I have read both sides and quite frankly, neither side knows.
The question to ask is this a mispriced bet? How much are you willing to risk to find out if the bears are wrong and how long are you willing to hold? What will tell you if you are wrong? At what price are you going to get out at?
Just some questions to keep in mind.
Before buying any stock, always ask why you are buying it.
Is this a swing trade?
Am I buying based on technicals, fundamentals, or some combination of the two?
Is this a day trade(I don't ever recommend)?
Am I buying this as a core long-term holding?
Whatever the reason, write it down.
Wells Fargo sports a div yield of 3.42%: www.google.com
Div history: www.nasdaq.com
Always think for yourself
clearly in the monthly supply, Short if it goes below.clearly in the monthly supply, Short if it goes below.
WFC bearish Shark + C bearish BAT + BAC bearish crabWFC bearish Shark + C bearish BAT + BAC bearish crab
WFC: Buy gradually over a weekWFC gave a nice signal to go long here, when retesting the prolongation of the earnings support to the left (dashed line). I'm adding gradually over a week in this zone. I currently hold a 1.5% account position, since I think we might take a while to take off, but we will most likely see a continuation of the Trump induced rally, and as Tim West pointed out in the Key Hidden Levels chatroom, it has a lot of room to catch up to $BAC, so, don't miss it.
Good luck,
Ivan Labrie.
The downfall of Wells Fargo?FUNDAMENTALLY: BAD SITUATION ALREADY - HOW MUCH WORSE CAN IT GET?
Poor business and regulatory practices are being investigated at WFC. This bodes negatively for the bank, as there is already an admittance of wrongdoing. Such situations have taken a while to sort out in the past (see GS, Citi, DB, BNP, etc.) and have resulted in substantial settlement amounts. The current situation with Deutsche Bank adds fuel to the fire.
WEEKLY CHART REFLECTING POOR FUNDAMENTALS.
The technical situation on the weekly chart looks quite poor: Negative wedge formation since July 2015, death cross in April 2016, downtrend broken this week, volume pickup on the downside, negative MACD cross-over, etc.
FLOW SITUATION ALSO DIFFICULT.
Warren Buffet, who already owns 10% of the bank through Berkshire, cannot buy more stock. He is bound to keep his investment and be unhappy with it or sell his stake... Not very encouraging from the perspective of institutional share-holding at WFC.
WHAT TO DO FROM HERE?
Go short at the current market price.
Price target $40/share.
Stop-loss at $46.
Reward/Risk = c. 2.7x
A possible WFC rebirth means to- BUYI am in no way certain here, but considering WFC's recent...mishaps... the corporation screams "go long!!" to me... I see equity in rebirth so to speak.
I drew in some general support (S1, S2, S3) at 47.10, 45.33, and lastly at 43.56. My S1 level was smashed through on Sep. 13... S2 held up for a bit, but was broken through on Sep. 26... S3 acted as a strong floor for the price, and created a clean reversal at a price of 43.56.. Price went bullish, and fell to form another reversal upon the price point of a higher low. (44.46) I believe price will continue the second bull run off of the higher low, and eventually hit a higher high, or at least an "even high"
I'm calling this one long.
My target is 45.50.
Wells Fargo - At crossroadsI believe that sometimes an instrument will go up if it will go above a level or vice versa. I believe that sometimes trading is that simple. Of course this strategy is affected by false breakouts, but at the end of the year, a trader applying this strategy should come out ahead.
Wells Fargo is currently standing at this type of level. It is the base of a massive weekly H&S pattern and a big daily triple bottom.
On the weekly chart, the volume indicators point to climactic volume, which makes me believe that all the selling has been done. A push up from the daily triple bottom will create a great weekly bullish divergence.
On the daily chart, a false break and a strong reversal yesterday.
As for targets, if I am right on the medium term, this stock should reach 49$. That is where I want to take some off the table. The rest of my position will be held for a longer time (unless stopped out) because if this massive H&S is not going to break, the uptrend will continue, and we shall see at least 60$.
FAREWELL TO WELLS FARGOBlack line a Temporary bounce after hitting the black line but most aggressive manipulators can hold for the below line for max profit.
There will be a strong bounce once hits this Red support line but once broke it will go down to $4 or below. Take out profit and go short after few weeks.
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At least this is the start of the another financial crisis which well may come after election or post summer 2017. All the financials banks will start to collapse.
Ascending triangle in WFObserving this ascending triangle, I would wait to see if the stock price brake up, to buy a long position. If the price comes again to the triangle area, the pattern would have failed.
Revised Target: $68 / share...otherwise wave 3 would be the shortest. Still bullish, but I guess the raising of interest rates in the future will peak WFC around $70. Buy pullback if it hits $40.
