The PEAD projected a bullish outlook for $AFG after a positive over reaction following its earnings release placing the stock in drift B with an expected accuracy of 50%.
Notes:
* Very strong up trend on all time frames
* Great earnings
* Pays out dividends
* Breaking out of a base on base pattern of around 8 months
* Held up incredibly well as the general market and the financial sector were taking a beating
Technicals:
Sector: Financial - Insurance - Property & Casualty
Relative Strength vs. Sector: 1.15
Relative Strength...
The PEAD projected a Bullish outlook for $AFG after a Positive Under reaction following its earnings release placing the stock in drift A with an expected accuracy of 60%.
News:
"In company news, American Financial Group (AFG) climbed over 17% after late Wednesday announcing the sale of its annuity business to the life insurance arm of privately held Mass Mutualfor $3.5 billion in cash. The property and casualty insurer said it expects to book a $7.10 to $7.90 per share after-tax gain after the deal closes its Q2 ending June...
- Hammer on the SMA 150 support
- Bears volume is weakening
- Both FI and Acc/Dist is higher when the price is lower.
- Decent range in channel for a high probability 3R and above profit potential
This is a bullish swing trade I may enter early next week, I will be entering this trade with my broker early Monday unless market looks extremely bearish.
Here is a view of the hourly time frame.
