Not surprisingly, V broke out to new highs in late April as the economy moved closer to reopening. Quarterly results beat consensus and business trends for the current period were strong.
V peaked at $237.50 following the news. It then ran out energy and dove back toward $220. That’s an interesting level because it’s near a peak from the end of last year.
Two other patterns stand out. First is a running along the lows of late January and late March. Second is the 50-day ( ).
Third, notice how stochastics have dipped back to an oversold level.
It’s a pretty recognizable setup overall with trend, levels and macro conditions all potentially lining up for the bulls.
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