Visa (V) Offering Possible 10.99% Return Over the Next 24 Calendar Days

Visa's most recent trend suggests a bullish bias. One trading opportunity on Visa is a Bull Put Spread using a strike $130.00 short put and a strike $120.00 long put offers a potential 10.99% return on risk over the next 24 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $130.00 by expiration. The full premium credit of $0.99 would be kept by the premium seller. The risk of $9.01 would be incurred if the stock dropped below the $120.00 long put strike price.

The 5-day moving average is moving up which suggests that the short-term momentum for Visa is bullish and the probability of a rise in share price is higher if the stock starts trending.

The 20-day moving average is moving up which suggests that the medium-term momentum for Visa is bullish.

The RSI indicator is at 68.53 level which suggests that the stock is neither overbought nor oversold at this time.

To learn how to execute such a strategy while accounting for risk and reward in the context of smart portfolio management, and see how to trade live with a successful professional trader, view more here


3 No-Brainer Stocks I'd Buy Right Now
Sun, 20 Jan 2019 23:47:00 +0000
These rock-solid growth stocks are great buys at today's prices.

Stock Market Power Rankings: Microsoft Throws in the Mobile Towel
Sun, 20 Jan 2019 17:00:00 +0000
They're big, beautiful, and ranked from 1 to 50.

American Express Stock Dips Are Buying Opportunities
Fri, 18 Jan 2019 15:00:25 +0000
After a terribly difficult year for stocks, 2019 started on a better note. Sellers are no longer in control and the S&P 500 is up 5% this year and up 10% off the Christmas lows. Although, the sellers are doing a decent job this morning on American Express (NYSE:AXP) stock, down 2.5%.

But therein lies the opportunity.

AXP reported earnings last night and investors did not like what they saw. I disagree with the sellers, so this is a buying opportunity for the long term. The experts on Wall Streets agree, since the stock is still trading well below their average price targets.

InvestorPlace – Stock Market News, Stock Advice & Trading Tips

### Where AXP Stock Stands

Up until a week ago, traders believed that financial stocks could not rally. But that is starting to change lately — they have recently bought bank stocks up with both hands. This is thanks to good reactions to the Goldman Sachs (NYSE:GS), JPMorgan (NYSE:JPM) and Bank of America (NYSE:BAC) earnings reports. The Financial Select Sector SPDR ETF (NYSEARCA:XLF) is up more than 4% in the past 5 days on top of a 10% bounce off the December lows.

* 7 Retail Stocks to Buy for the Rise of Menswear

However, AXP stock this morning is not getting the love that the others did this week. Perhaps the disappointing Morgan Stanley (NYSE:MS) report on Thursday morning soured the mood a little on Wall Street. America Express did miss slightly on both earnings and revenues, but nothing that damages its sustainable bullish thesis.

AXP is not a bank, but credit card stocks do often trade alongside the traditional financial centers. American Express is financial technology stock, or FinTech, and those are faster movers than banks.

Consider one extreme stock of the bunch, Square (NYSE:SQ) stock, which is up 72% in the past year. Visa (NYSE:V), Mastercard (NYSE:MA) and Paypal (NASDAQ:PYPL) are up 13%, 20% and 9% respectively for the same period. American Express stock is lagging, down 1%, so it has some catching up to do. This is reason number one to own it now — while it still lags.

Yes, they disappointed the Street with their earnings, but if the stock market is going higher this year then AXP will recover and rally along. Management stated yesterday that they "are starting 2019 in a position of strength." This is confidence that I can bank on, and the second reason to buy.

Thirdly and perhaps the reason with the biggest upside potential on the stock is China. The tariff war has been terrifying to Wall Street but it also presents a great opportunity for AXP stock. Part of its effort to resolve the face-off with the U.S., China is likely to open its doors to U.S. companies.

American Express has the best chance to be the first U.S. mover into a massive market, having already received preliminary approval. It will be competing with Alibaba (NASDAQ:BABA) Alipay and Tencent (TCEHY), but it is up to the task and will be a growth market for it.

Last night, management delivered decent guidance for 2019 but lacked the wow-factor. They raised their full year revenues but kept the same range on earnings per share. These days, investors want to see upgrades in guidance. But in the face of so much uncertainty, a cautious management team is a smart one. They are aware and realistic of opportunities and pitfalls.

The bottom line and as long as stocks are rising, AXP stock dips are buying opportunities in upwards moving markets.

There are some negatives like a slight increase in provisions for losses but nothing too alarming. After all we are in a rate hike cycle and this is when things can go wrong, but this is not 2008. We don't have flagrant systemic risk. Today's stocks prices are better founded with much less froth.

The negative reaction last night and this morning are too extreme. America Express stock is too good to be punished this harshly on a tepid report.

Nevertheless, the short-term reaction to earnings events are always binary so they don't matter much over time. So luckily they are just that, short term. With time the good fundamentals will prevail over this temporary tantrum.

For any bullish trade to work out we first need the macro-economic environment to allow for it. This year we are eliminating the major reasons that plagued the bulls last year. Recently the Federal Reserve assured us that they won't invert the yield curve on purpose. Now we only need to eliminate the tariff war threat. The rhetoric on that front are also improving as both sides are showing signs of lenience.

Click here for a bonus video on Tilray (NASDAQ:TLRY) stock. This is a wild one but there are clues. Nicolas Chahine is the managing director of As of this writing, he did not hold a position in any of the aforementioned securities. You can follow him as @racernic on Twitter and Stocktwits.

### More From InvestorPlace

* 2 Toxic Pot Stocks You Should Avoid
* 7 Companies Apple Should Consider Buying
* 7 Beaten-Up Housing Stocks Due for a Bounce Back
* Take Buffett's Advice: 5 Vanguard Funds to Buy

Compare Brokers

The post American Express Stock Dips Are Buying Opportunities appeared first on InvestorPlace.

American Express (AXP) Q4 Earnings Lag Estimates, Stock Down
Fri, 18 Jan 2019 14:10:02 +0000
American Express (AXP) fourth-quarter results reflect lower-than-expected customer spending and higher rewards expenses.

Crypto Prices Rise as Thailand Stock Exchange Eyes Nationwide Digital Asset
Thu, 17 Jan 2019 23:32:00 +0000 – Bitcoin and other major digital coin prices made small gains on Friday in Asia following news that Thailand ’s stock exchange is keen on developing a nationwide digital asset that would include a cryptocurrency exchange.

Be Sociable, Share!

Related Posts


MarketTamer is not an investment advisor and is not registered with the U.S. Securities and Exchange Commission or the Financial Industry Regulatory Authority. Further, owners, employees, agents or representatives of MarketTamer are not acting as investment advisors and might not be registered with the U.S. Securities and Exchange Commission or the Financial Industry Regulatory.

This company makes no representations or warranties concerning the products, practices or procedures of any company or entity mentioned or recommended in this email, and makes no representations or warranties concerning said company or entity’s compliance with applicable laws and regulations, including, but not limited to, regulations promulgated by the SEC or the CFTC. The sender of this email may receive a portion of the proceeds from the sale of any products or services offered by a company or entity mentioned or recommended in this email. The recipient of this email assumes responsibility for conducting its own due diligence on the aforementioned company or entity and assumes full responsibility, and releases the sender from liability, for any purchase or order made from any company or entity mentioned or recommended in this email.

The content on any of MarketTamer websites, products or communication is for educational purposes only. Nothing in its products, services, or communications shall be construed as a solicitation and/or recommendation to buy or sell a security. Trading stocks, options and other securities involves risk. The risk of loss in trading securities can be substantial. The risk involved with trading stocks, options and other securities is not suitable for all investors. Prior to buying or selling an option, an investor must evaluate his/her own personal financial situation and consider all relevant risk factors. See: Characteristics and Risks of Standardized Options. The educational training program and software services are provided to improve financial understanding.

The information presented in this site is not intended to be used as the sole basis of any investment decisions, nor should it be construed as advice designed to meet the investment needs of any particular investor. Nothing in our research constitutes legal, accounting or tax advice or individually tailored investment advice. Our research is prepared for general circulation and has been prepared without regard to the individual financial circumstances and objectives of persons who receive or obtain access to it. Our research is based on sources that we believe to be reliable. However, we do not make any representation or warranty, expressed or implied, as to the accuracy of our research, the completeness, or correctness or make any guarantee or other promise as to any results that may be obtained from using our research. To the maximum extent permitted by law, neither we, any of our affiliates, nor any other person, shall have any liability whatsoever to any person for any loss or expense, whether direct, indirect, consequential, incidental or otherwise, arising from or relating in any way to any use of or reliance on our research or the information contained therein. Some discussions contain forward looking statements which are based on current expectations and differences can be expected. All of our research, including the estimates, opinions and information contained therein, reflects our judgment as of the publication or other dissemination date of the research and is subject to change without notice. Further, we expressly disclaim any responsibility to update such research. Investing involves substantial risk. Past performance is not a guarantee of future results, and a loss of original capital may occur. No one receiving or accessing our research should make any investment decision without first consulting his or her own personal financial advisor and conducting his or her own research and due diligence, including carefully reviewing any applicable prospectuses, press releases, reports and other public filings of the issuer of any securities being considered. None of the information presented should be construed as an offer to sell or buy any particular security. As always, use your best judgment when investing.