Mastercard Inc. (MA/NYSE): general review
18 December 2018, 13:04
| Scenario | |
|---|---|
| Timeframe | Intraday |
| Recommendation | SELL STOP |
| Entry Point | 189.95 |
| Take Profit | 185.00, 180.00, 175.00 |
| Stop Loss | 194.85, 195.00 |
| Key Levels | 179.00, 185.00, 190.00, 196.50, 204.00, 210.00 |
| Alternative scenario | |
|---|---|
| Recommendation | BUY STOP |
| Entry Point | 196.55 |
| Take Profit | 205.00, 210.00 |
| Stop Loss | 192.00 |
| Key Levels | 179.00, 185.00, 190.00, 196.50, 204.00, 210.00 |
Current trend
Mastercard shares have fallen by 5.3% since the beginning of December and are currently trading at a premium of 4.5% against the 6-month low of November. A drop in the issuer's quotes from a 52-week high exceeded 15%. Mastercard announced a 32% increase in quarterly dividends to $0.33 per share. In addition, the company's board of directors approved a program to repurchase its own shares for $6.5 billion.
Over the last week, Mastercard shares fell by 3.84%. The S&P500 index for the same period decreased by 3.46%.
Support and resistance
The instrument is trading in the flat. Currently, local levels of support and resistance are 190.00 and 196.50, respectively. Indicators show the strength of sellers: the price consolidated below 50 MA and 200 MA; MACD histogram has moved to the negative zone.
A comparative analysis of the multipliers of the company and its competitors in the industry indicates the undervaluation of #MA.
Support levels: 190.00, 185.00, 179.00.
Resistance Levels: 196.50, 204.00, 210.00.
Trading tips
If the price consolidates below the support level of 190.00, further correction of quotations of #MA is expected. Potential profit levels would be 185.00, 180.00 and 175.00. Stop loss can be set at 195.00.
If the price consolidates above the 196.50 level, long positions can be considered. The target zone for profit taking is 205.00–210.00. Stop loss – 192.00.
Trading scenarios will be relevant for 3 days.
Mastercard shares have fallen by 5.3% since the beginning of December and are currently trading at a premium of 4.5% against the 6-month low of November. A drop in the issuer's quotes from a 52-week high exceeded 15%. Mastercard announced a 32% increase in quarterly dividends to $0.33 per share. In addition, the company's board of directors approved a program to repurchase its own shares for $6.5 billion.
Over the last week, Mastercard shares fell by 3.84%. The S&P500 index for the same period decreased by 3.46%.
Support and resistance
The instrument is trading in the flat. Currently, local levels of support and resistance are 190.00 and 196.50, respectively. Indicators show the strength of sellers: the price consolidated below 50 MA and 200 MA; MACD histogram has moved to the negative zone.
A comparative analysis of the multipliers of the company and its competitors in the industry indicates the undervaluation of #MA.
Support levels: 190.00, 185.00, 179.00.
Resistance Levels: 196.50, 204.00, 210.00.
Trading tips
If the price consolidates below the support level of 190.00, further correction of quotations of #MA is expected. Potential profit levels would be 185.00, 180.00 and 175.00. Stop loss can be set at 195.00.
If the price consolidates above the 196.50 level, long positions can be considered. The target zone for profit taking is 205.00–210.00. Stop loss – 192.00.
Trading scenarios will be relevant for 3 days.
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