Our FREE STOCK PICK was sent out yesterday to our opt-in mailing list. We try to get these out weekly, but it has been such a busy season as we’ve moved family and business from Ohio to Florida.
Attached here is a technical chart showing a bullish scallops pattern withing a sustainable uptrend with a clear line of support. Note that the OBV (volume balance) indicator is leading price by hitting new highs prior to the price breakout. This is a fairly rare buy signal for stocks showing this type of trending action.
Fleetcor (FLT) is the industry leader in providing payment solutions to businesses, among other things. It is a true multi-national conglomerate with revenue streams from the oil and fuel industries in a variety of countries. It is an IBD-ranked “99” stock, and is currently in their Top 10 “Leaderboard” stocks. The company has grown earnings 33% this year and sales 31%. It’s leverage in the industry gives it pricing power that has bolstered some of the highest margins of any multi-national.
Shares of FLT can be bought at current levels and should be played with an 8% to 10% stop-loss and an adjustable target set at the top of the trend channel. I prefer to use a credit put spread on FLT which means I can profit from upside price movement, range-bound sideways action, and even from a modest pullback in price over the next 20 to 30 days. If you put on a spread, I suggest aiming for for strikes around the support level as noted in the chart below (green line). NOTE: I’ll be teaching this low-risk, high-reward technique in an upcoming webinar.
Blessings to all, and happy trading! TC