WELLS FARGO STOCKS RISE AFTER NEWS OF THE RETIREMENT OF CEO SLOAN

Wells Fargo’s stock is currently trading at 49.37-higher by 0.57% as compared to the previous closing price. In the pre-market trading session, the stock was trading higher by 2.04%. The stock has pared some of its earlier gains after the opening bell.

Wells Fargo said in a release on Thursday that Tim Sloan, who took over as chief executive of the bank in 2016, is resigning as CEO immediately. The bank’s general counsel, Allen Parker, will take over as interim CEO. Also, Wells Fargo is searching externally for a permanent successor.

CEO Tim Sloan had struggled to satisfy regulators’ demands to overhaul the sprawling institution. In 2018, the Federal Reserve took the extremely rare step of capping the Wells Fargo’s asset growth after the bank found more problems with customer dealings.

Earlier this month, Wells Fargo said that CEO Sloan had merited a 5% increase to $18.4 million for his work in the last year. The Outgoing CEO informed the board earlier this week that he felt his presence was a hindrance for the bank, according to a Thursday call conference call with reporters.

On the technical front, the RSI is currently at 48.99% and suggests that the market can move in the upward direction. The current price is above the MA5. The current price is below the middle line of the Bollinger Bands but is heading upwards.

 

TRADE SUGGESTION- LIMIT BUY AT 49.15 TAKE PROFIT AT 49.65 STOP LOSS AT 48.90

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