Verified Investing on $V (Nov 2, 2026)
Visa broke out of a 2020 parallel channel and looks a somewhat safer play; a measured move targets about 45687, near the 450 psychological level where profit-taking may appear. It needs another day higher tomorrow, but the speaker expects only a last-ditch push before price likely returns to the top of the channel; consolidation is more likely than continued upside.
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Uh Visa was up, Proctor and Gamble were up. A lot of defensive plays were up. So there are green uh elements to always find in the stock market.
All right, next up guys into a winner on the day. Look at Visa. Nice breakout in this scenario. Now look at here this larger time frame. We've had uh Visa contained in a parallel channel ever since the 2020 lows.
Now zoom close into where the breakout occurred. Look what happened here guys. Nice breakout retrace and bounce play up on Visa. So Visa is attracting some attention. It is somewhat of a safer play out there in the markets.
So, how do we go about finding a potential destination for for this very move on the charts? Well, a couple ways. And I'm going to show you one right here. One that may be not the cleanest of cup and handle patterns, but one that at least for this exercise we're going to use.
You can see this horizontal trend line I drew from the previous all-time high on the chart. When price ran up to it, we consolidated, pierced above it, came back down, put in consolidation before ripping to go higher.
For me, that's somewhat it's it's not the cleanest, but it is somewhat of a cup and handle pattern. And these do come with measurements that allow you to have a measured move. All you do is draw a trend line from the low pivot of that cup up to the neckline and then drag that trend line out to the point in which price broke above and this gives us a targeted destination for where price likely will hit the breaks right around 45687.
That makes sense. If we continue to surge up into the 450, that's a psychological whole round number that likely will have some profit takers uh come in. And you can see here too from this other inclining trend line that I've taken back from a previous pivot high in July of 21.
We are in a secondary potential breakout watch illustrating the very uh very much where I highlighted we could go on this measured move with Visa. Now, we need to stack up another day to push higher tomorrow.
And then this uh near-term trend line then becomes support for then what could be a lastditch effort push up, last little gas in the tank before we see price come right back down to the top of this parallel channel.
After all, much like what we described on the S&P 500, breaking out of inclining uh parallels is very, very hard to maintain. the likelihood that they come right back down and continue consolidating actually is greater than continuing up on the chart.