Coca-Cola (KO): Is Risk-to-Reward Favorable Now?We have been filled on our second entry on $KO.
Coca-Cola is now back trading within its range, and with the first bullish divergence on the RSI appearing, we believe that despite the current weak chart structure, the risk-to-reward ratio and dividend yield make this a worthwhile opportunity.
As a traditionally slow-moving stock, Coca-Cola could gain some momentum if market focus shifts back from risk-on assets to safer, dividend-yielding stocks like $KO. This transition could provide the stock with room to grow.
Key to the next move will be reclaiming the resistance at $65.14. As long as $59 holds as support, we remain optimistic. With our stop loss in place, this trade remains secure, and we are well-positioned for any developments.
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