KO trade ideas
KO downtrend might be taking a break soonKO had 4 down weeks in a row, we're now at the 200 week MA. There are signs that the downtrend could be weakening so I will be watching it for a reversal soon. Depends if it follows through on that last big red candle. If it follows through and breaks the 200W ma, I'd expect the correction to continue.
Long setupRSI goes up from the oversold area, MACD goes from red to green, nice support for the last week.
Potential KO Entrance PointAs a 128-year-old multinational beverage giant, The Coca-Cola Company is a staple in any portfolio.
In the post-covid era of high growth tech stocks, boring bread and butter companies such as Coca Cola have been relatively underbought. It has severely underperformed the SPY, analysts estimate 2020 revenue to decline by 11%, and covid shutdowns have affected its operations globally. Why would anyone want to buy KO's underperforming stock when shares like TSLA have rocketed more than 1000% in the last year?
When thinking of value, it is important to keep the long term in mind. It may be tempting to dump your entire portfolio in companies like TSLA or NVDA - it is completely possible that one would make a lot of money by doing that. However, the difference between these companies and Coca Cola is that while it's possible that the next generations might be driving Teslas, they will definitely be consuming Coca-Cola products. Just look at Wikipedia's massive alphabetically organized list of Coca Cola brands ( en.wikipedia.org ). They have proven to be flexible in changing markets, adapting to the decline in demand for sugary drinks by increasing the role of products such as Dasani, SmartWater, and Coke Zero. KO maintains a majority market control in every region except the Middle East, and its brand is recognizable across the globe. Coca Cola is a great long-term investment that is likely to produce returns for the foreseeable future.
KO is currently trading at a PE ratio of 25.67, well below the SPY's PE of 38.54. Earnings are expected to shrink this period, however, 2021 is expected to bring with it a revenue growth of 10.7%. Although KO is leveraging lots of debt ($51 billion with a debt to equity ratio of 2.84), it has approximately $11 billion of cash on hand and a 9-month positive operating cash flow of $6.2 billion (January 2020 - September 2020). This should be enough to allow KO to meet its current debt obligations. It is currently outperforming estimated earnings for the 2020 period. It has purchased $7 billion in long term investments, a bullish sign for shareholders. It has also increased its dividend (currently a 3.38% yield) for 58 years straight, making it a dividend king.
The $48.50 (1) range seems to be its current demand zone, providing recent support. I expect KO to rally into the $51.50 range (2) before either encountering resistance and reversing back to support at 1, or continuing higher towards resistance at its 6 month high (3). There is a possibility that it breaks through support at 1, however, I find that to be unlikely due to how many times it has been tested (but you should always set a stop loss!).
I also believe that it's worth mentioning that the 200 EMA on the 5-year window seems to be acting as additional support:
$KOTouch bottom idk how many times (3) on daily. Thats the bottom. Each retracment so far during covid is avg over 10%. LONG!
few will understand this. counter trade me please.
KO - Potential Head and Shoulders This stock tends to trail the index by a couple days. Look for rotation into this stock over the next few days to form our right shoulder with a potential pullback and break of the neckline. After examining market indexes over the past week, we're shaping up to see a bit more red, even after that doozy of a red candle printed on the SPX today. As a long-term investor of KO I'm hoping that this turns out to be a megaphone pattern, but since I stood on the milk crate last week and advocated LONG positions @ 48.50, I'd be doing a disservice if I didn't point out what I'm seeing now. Cheers!
COCA COLA 10% POTENTIAL RETURNCOCA COLA is showing a nice LONG potential this week respecting the support area identified in red at $49 holding the price as expected.
At the open a LONG POSITION is possible with a potential of a +10% RETURN at $54
Happy trading
KO Where They Going To Go?I buy KO stock last night. My Perspective for this stock, it will back to 60 maybe around 2-4 months.
Great Potential Swing Trade for Coca-Cola (KO)Coca Cola is well below the 200ma and has now bounced off its support. The stock is also in a bullish channel and with earning coming up and some positive news, it looks like it could be great swing trade for coming days/weeks and for a very cheap price in options!
Coca Cola is a safe bet, as we can all pretty much agree, the company isn't going anywhere long term.
They recently have made lots of adjustments to their business plans moving forward to adapt to the changing market and become more efficient as a company which can be found here: www.coca-colacompany.com
With a rise in the coffee market worldwide, Coca-Cola has recently launched their own product which can be found here: www.foxbusiness.com
Lastly, hard seltzers were the quickest growing products in the alcohol market last year with drinks such as Trulys gaining popularity. Much like the coffee market, Coca-Cola is launching their first ever alcoholic beverage and jumping on the seltzers band wagon moving forward, that info can be found here: www.usatoday.com
KO longI bought 3 call options exp 16apr21 strike 55 at avg cost .39
I am also in a long term position on the equity side.
Its expensive so its hard to accumulate the equity, but can't hurt from a defensive long term standpoint.
KO 11-01-2021 LongAsset and Time frame -KO,4H
Entry Price -50.62
Exit(Stop Loss) -50.08
Exit(Take Profit) -55.15
Technical Analysis -Price is inside a daily confirmed ascending channel, the price reached the bottom of the tunnel and reacted with a small hammer pattern, price action reacted to the -61.8 Fibonacci level with an outside bullish candle and high volume, I've put a tight stop loss if you want a safer stop loss, I recommend the 49.22 level, also on the weekly chart price reacted to both 100 & 50 MA
I would like to hear your opinions and what can I do to improve, many thanks
Is KO going to reverse? NYSE:KO
Perhaps KO is coming to the place where it it should be paid more attention to. I hope it will return to the main uptrend, although the earnings report may change the game.
Coca Cola may be showing signs of a positive recovery Just over a year ago, Coca Cola was trading at an all time high of $60, but the price tanked by about 38% in a month following the onset of the Corona Virus. Since then, it has been increasing slowly and steadily in a rising channel and finally crossed its 200 MA yesterday. I think that as world starts to recover from the worst of the virus's effects, this share should once again reach its prior high in the coming months. As an added bonus, it boasts a dividend yield of 3.37%.
$KO 200MA + RSICoca-Cola is turning nicely from the 200MA on the daily chart. RSI is also looking good.
Low risk KO Swing TradeThere are two longer established trend lines that predate covid in part and then carry over into today. This looks like a swing opportunity where you want to STOP LOSS a bit below the bottom trend line and SELL for gains toward the top trend line. low risk opportunity.
In addition to the chart pattern KO is a staple American brand and I anticipate changes in government to bring about the American spirit.
As well as the growing difficulty of the market landscape (as evaluations get higher) makes this more consistent name attractive for people to offset their risk.
Coca-cola on monthly, weekly, daily,5minCoca Cola on monthly in the green scd band. Mostly green candles with gapping up.
On weekly gaps from this level. Strong drop down with two candles but no continuation on this week.
On daily from this level before cluster of candles left behind by gapping now projects support across the chart.
On 5min price decline stops in this green projection. Yesterday before closing cluster of candles left behind by gapping up 48.55 level
Let’s see what will happen today and I am looking to buy now.
Coke Stock - $KO - Trade Idea - Cheap Stock @ 200 Week LowCoke Stock - $KO - Trade Idea - Cheap Stock @ 200 Week Low
What do you think? Am I missing anything here?
