Visa the largest global electronic payment solutions company, gained a meager 5% – increasing from about $219 at the beginning of 2020 to around $230 currently, underperforming the S&P500, which grew 20% over the same period. However, the company’s payments volume has seen some recovery over the recent quarters – nominal domestic payments volume and nominal cross-border volume increased 18% and 10% year on year in Q3. There were two clear reasons for the improvement in payments volume: First, easing of travel bans and Covid-19 restrictions in several countries, second, the U.S. government’s approval of the $1.9 trillion coronavirus relief package in March.
Visa without question is a strong company. Visa had a slight pullback as it started to get a little overbought on the daily, now it’s coming out of oversold territory. A nice clean break of downward channel has been broken and we could be seeing a good old retest of previous resistance to see if it’ll act as support. Watchlist. - Factor Four