Visa is breaking out this weekVisa NYSE:V another Credit service stocks in DJ:DJI that is breaking out. The other one is NYSE:AXP
VISA trade ideas
Visa Breaking Out (Again)Shares of Visa (V) are yet again breaking out to new highs. Barring the market turning south, I don't see much to stand in their way, either.
It's been an almost picture perfect stair-step of resistance turning to support. The latest puts minor support at the $141-143 level, with additional support at $136, and with more significant support at the breakout level around $125-127, which happens to coincide with the 200-day moving average at $125. There's an upward sloping trend line in play, as well, which has held up nicely all year long. The MACD has turned positive, and the RSI has broken out of a nice base and is climbing, too.
I've been long this name for a while and will continue to buy any dips of significance. Just this past week, as it appeared to be gaining momentum for a breakout, I bought October $150 calls in both my trading account and IRA.
Should we get a dip to that $125 area, I'd be a buyer of outright shares for long-term holding.
If you're looking for a consumer play, this is the perfect one. While there are some great companies to own in that actual sector (like KORS, ULTA, LOW, HD, etc), this captures them all because there's a very strong chance you'll use the same card at each one, and there's a strong chance it has "VISA" in the corner of the card.
I like MA and AXP, too, but V is my preference (DFS to a lesser extent, but growing direct and tuition loans give reason for concern longer-term as the credit cycle squeezes). If you don't own V already or want to add to an existing position, you should be looking to buy any decent weakness!
Visa ShortNYSE:V Short
Reason:
MACD & Stoch Crossing
Potential DEMA crossing coming up.
Leverage 7.5
Entry Price 136.89
$V Nice bounce off the sma50Bought $V when it was close to the SMA50 support, nice bounce this week.
VThe trendline kind of sort off is overshooting on this one, would expect a pull back into the channel.
$V 18 AUG 17 C150 at .37Daily chart for V shows breakout and retest of resistance out of rising wedge pattern. Weekly chart posted below to illustrate the lack of overhead supply that normally acts as resistance areas for stocks on their way up. V looks pretty clear for a ride past 150 in my opinion. Earnings Report scheduled for July 25 could act as an upside catalyst. Long call options for Aug 17 150 right now trade for .37. GLTA
Visa buy point is 138, will move to 165 by March 2019Visa will shoot up soon, recommending buy it now ($138-$140).
