WELLS FARGO BULLISH AFTER PRESENTING OUTLOOK
Wells Fargo is currently trading at $55.29–higher by 0.51% from the previous close
In Pre–market trading on Friday, Wells Fargo was trading higher by 0.49%. The stock closed at $55-lower by 1.68% on Thursday.
In recent news, Wells Fargo & Co’s Chief Financial Officer disclosed on Friday that the bank expected to reduce total expenses by about $3 billion by 2020. CFO John Shrewsberry also added that the bank was on track to reach its expense target of $53.5 to $54.5 billion by the end of 2018. Further, the CFO anticipated expenses in the range of $50.0 billion to $51.0 billion in 2020. So, it could boost the company’s revenues and positively affect the stock.
On the technical front, the RSI is currently at 32.3% and suggests that the market can move in the upward direction. The %K has crossed the %D from above to the downside at 4.79% and suggests that the market can continue trading sideways. The Current Price is below the lower band of the Bollinger Bands but is heading upwards and there is a chance of reversal from the recent lows.
Overall Bias is Positive and trades can be initiated with tight Stop Loss and Profit targets to book profit for the short term.
TRADE SUGGESTION-LIMIT BUY AT 55.10 TAKE PROFIT AT 55.60 STOP LOSS AT 54.85