Visa stock: buy or sell
Jul 29th, 2021
Visa stock brief
- Visa went down a -1.59% after reaching new all-time highs on Tuesday
- On Tuesday, Visa released its Q3 earnings report
- Visa Inc. operates as a payments technology company worldwide.
Should I buy Visa stock?
Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best moment to buy them. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best
Is $V stock a buy?
In the current situation of Visa there is just one buy setup eligible:
Uptrend buy setup
Visa stock is in an uptrend since last January that so far has marked an amazing 28.00% gain. Price marked a local bottom in this uptrend at $219.99 last May, and since then it bounced off a 12.25%. Price just broke out above the entry point at $237.16, but it can be traded. If price goes beyond $249.02, don't chase the price and wait for another pullback. If you decide to enter this trade, the suggested stop loss is at $213.44
|Buy setup||Buy point||Stop loss||Risk|
|Uptrend buy setup||$237.16||$213.44||10.00%|
Should I sell Visa stock?
When you own a stock with some profit, it's really hard to decide the correct moment to sell and get your benefits. Much like when we have to buy shares, determining when is appropiate to sell is not a random decision, and we must adhere our own trading style. When selling, as well as buying, detailed strategies are very simple to use but are only applicable for selling stocks you already own, not for selling short $V stock
As a golden rule, you must never hold an open trade that yields higher than expected losses at the time of the buy. When to sell shares must always be ruled by the stop-loss (automatic or manual)
Is it time to sell Visa stock?
Currently, Visa stock doesn't match any of our preferred sell setups, so if you hold Visa stock and your operation is in profit probably is not time to sell now
In the previous month we couldn't find any rating for Visa
Visa stock analysis
Visa shares started an uptrend last January, and gained an amazing 28.46%. During this uptrend, the price provided some entry points on the breakouts. Latest low was last May, when price bounced at $219.99. Visa broke out above $237.16 (its last top) on July 9. That breakout was a good buy point
$V at new All-time Highs
Visa did it again, and marked new all-time highs (ATH) on Tuesday at $252.67. Previous highs were on July 16
Supports and resistances
Price is at highs and there are not upper resistances.
The current supports are:
Since the price surpassed the upper band last Monday, the price corrected downwards by 1.37%. The price is moving near to the upper Bollinger band, indicating some level of overbought in recent sessions. This is not a sell signal, as price can move in these levels for many days and weeks
Relative strength index
The RSI dropped below the overbought level of 70 on July 19 after just crossing to the overbough zone for a single day (weak signal). The RSI reading on Wednesday was 58.95. Visa shares slightly moved a 0.48% since that level was lost
Visa stock price history
Visa went public priced at an adjusted price1 of $13.57 on Mar 2008. Since then, V stock has risen by 1,719.75%, with an average of 132.29% per year. An investment of thousand dollars on Mar 2008 would be valued $18,197.49 today.
1: Adjusted price after possible price splits or reverse-splits
Price target for Visa stock
How much a stock will be priced tomorrow or next week is quite unpredictable. Banks and financial organisations issue their analysis forecasting how a particular stock will performance in the future.
The following table shows the price forecasts published by financial institutions in the last 30 days. If you are a small trader you shouldn't trade based on these projections.
In the last 30 days we couldn't find any price target published for Visa stock.
Earnings and financials
Visa ($V) hosted the quarterly investors call and posted the report on Tuesday. Visa topped consensus earnings estimates and posted of $1.49, that is a 11.19% improvement versus the previous forecasts of $1.34. On the other hand, reported sales were $6.1 billion versus estimates of $5.9 billion.This compares to Earnings of $1.07 per share a year ago, so reported EPS is an increase of 39.25%. Looking at sales, figures barely moved compared to $58.5B same quarter 12 months ago.
Visa ($V) presents financial report next October.
Disclaimer:The thoughts published in this article are personal and should not be followed as recommendations for you to buy or sell shares. The author of this text does not know the specific situations of the reader, his or her financial statements or what is in his or her best interest at any given time. All users should speak with their financial advisor before buying or selling any securities Viewpoints are posted for education purposes only
|Wednesday, July 28th, 2021|
|Day range||$245.91 - $251.5|
|Average true range||$5.62|
|50d mov avg||$235.43|
|100d mov avg||$228.85|
|200d mov avg||$217.15|
|Earnings date||October 26th, 2021|