In last evening’s Forecast Report, Visa (V) signaled a possible short play from 86.19 to the 85.75 area. On the long side, the 84.70 to 85 area looked attractive for some possible early buying.
Early Thursday, the stock traded up through our short target hitting a pre-market high of 87.40. Still, a sell at the top of our target range, at 86.19, as measured to the day low of 83, is 3.8% in the black.
From the long side, the pre-market low of 84.85 was square within our target. A buy there, as measured to the day high of 86.18, is 1.6% in the black.
VIEW AFTER-HOURS FORECAST REPORTS
In this morning’s Opening Bell Momentum Report, Visa (V) offered a potential long entry point in the 84.30 to 84.80 range, a floor support established through the second-half of pre-market action.
V opened regular trading near 85 and moved to the day’s high of 85.91 early in the session. The stock steadily moved back to below 84, hitting the day low of 83.49 before hitting 84 again and lingering there for much of the rest of the day.
A buy from the open, measured to the 85.91 high, was up 1.1%. A buy from the 83.49 low, as measured to the 84 area hit in late trading, was up 0.6%.
VIEW AFTER-HOURS FORECAST REPORTS
Added on January 30, 2009
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Posted in Most Recent Post
Tags: 7.2%, after hours, cassie guglielmo, cassie slane, dis, earnings, fourth-quarter, january, motorola, noc, northrop grumman, pre-market, reverse, unemployment, v, visa, walt disney
Earnings season continues this week with companies from Walt Disney (DIS) to Northrop Grumman (NOC) reporting results. However, investors will be looking to the end of the week for the most significant report: January’s Employment Report. The unemployment rate is expected to climb from December’s rate of 7.2% as companies continue to slash jobs in every area of the economy.
As for earnings, Motorola Inc. (MOT) is expected to report fourth-quarter results before the market opens on Tuesday. The cell-phone maker is expected to report even earnings, compared with 14 cents a share a year ago, on revenue of $7.2 billion, according to Thomson Reuters. Longs should be wary of Motorola going into earnings. The stock has put up a mixed performance between its extended-hours trade and the following regular session after an earnings event. It has widened its move in 10 of the last 19 earnings-events, and only four of those moves were higher. The near-term is also mixed, with two widening moves and two narrowing. On October 30, shares rose 2.5% in the pre-market before closing the regular session down 5.3%.
Visa Inc. (V) will report first-quarter results on Wednesday after the market close and is expected to report earnings of 66 cents per share on revenue of $1.7 billion. Visa is not a stock for after-hours traders to bet the house on as it has demonstrated a tendency to see its earnings-driven after-hours moves post sharp reversals in next-day regular session trade, doing so in three of the past three quarterly reports. In the three quarterly reports MidnightTrader.com has tracked thus far, the stock has once turned from an after-hours upside move to a next day closing decline and twice seen its evening decline reverse to end the following regular session to the upside.
