Here’s a Dow component that’s actually buyable right now. Check out Vis (V). (August 20, 2015)
In this “Free Chart” video I just want to show you one chart. The market basically is the ugliest today that I’ve seen it in a long time, and I’ve seen a lot of ugly markets. But what was really, really interesting to me was, actually not Disney ( NYSE:DIS ), which is reverting to a mean that we haven’t seen before, this is moving lower. Mickey Mouse, love him but not a $100.00, maybe 90.00, 95.00 I should say.
But Visa ( NYSE:V ), another Dow component, this was actually close to up at one point today. Down just a half a percent; down a half a percent when there was more blood than I have seen in a long time. The fact that Visa ( NYSE:V ) was just trading sideways I think is a real sign of strength. Yes it closed down but it closed higher than it opened. Find stocks that did that on a day like today, those are stocks that I want to be in.
But it was a high volume sell off Dan. Yes it was. Did I mention that it closed higher than it opened on a day when basically everything was being jettisoned? This closed essentially at the low of the day when all daylong the cheerleaders are saying, “The market’s off its lows, the market’s, oh no it’s not. Now the market is off its lows. Oh, now the market’s off its lows.” Look guys, the market wasn’t off its lows it kept making lower lows, that’s what bad stocks do.
Visa ( NYSE:V ), again, higher low. I think this is a stock, I’m going to go ahead and say it, I think this is a stock that you can buy. Heck, charge it. Why not? Put it on your American Express card. But you look at the weekly chart; this trend has been going on for years. It’s a nice, nice uptrend. This is not a trade, “Oh I’m going to buy it at 74.00 and sell it at 76.00.” No. Buy it at $74.00, plan on everybody maxing out their Visa ( NYSE:V ) cards for the holiday season, sell it at 90.00 or $95.00 on January 2nd so you don’t have to pay taxes on the gain. That’s how I would trade it.
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