VZ Price Should Gravitate Towards Diluted EPS Uptrend
An uptrend in diluted EPS (earnings per share) is overlaid on top of price and is indicated by the teal trend channel which price also follows. Price has dropped outside of this channel and can be considered out of place, needing to rise to get back in line with actual company performance.
Auxiliary arguments:
Price is at bottom of long-term price range.
PE ratio is at bottom of long-term range, excluding low period in 2018
Volume profile going back to 1996 shows air pocket below current price level
5.76% dividend yield
Price is at 200-month sma
Trade thoughts:
Timing has not been considered so this is not an options play.
Buy shares around $44 with a stop at $39.60 and price target of $60.99 for an intermediate-term (1-3 months maybe) swing trade or hold on as an investment.
Auxiliary arguments:
Price is at bottom of long-term price range.
PE ratio is at bottom of long-term range, excluding low period in 2018
Volume profile going back to 1996 shows air pocket below current price level
5.76% dividend yield
Price is at 200-month sma
Trade thoughts:
Timing has not been considered so this is not an options play.
Buy shares around $44 with a stop at $39.60 and price target of $60.99 for an intermediate-term (1-3 months maybe) swing trade or hold on as an investment.
Comment:
I entered a limit order at 44.58 when price was at 44.60 and it never got filled. I hate limit orders.
Trade active:
Price closed at 44.78 today, I'm long since 44.90. Indexes showing signs of weakness with very ugly day candles today.