Bank Of America Continues Lower: A Technical Look


20-Year Pro Trader Reveals His "MoneyLine"

Ditch your indicators and use the "MoneyLine." A simple line tells you when to buy and sell without the guesswork. It’s a line on a chart that’s helped Nic Chahine win 83% of his options buys. Here's how he does it.


Joel Elconin is the co-host of Benzinga's #PreMarket Prep, a daily trading idea radio show.

Bank Of America Corp (NYSE: BAC) shares were trading lower by $0.18 (1.2 percent) at $15.87, but well off its low in Friday's session. The issue is following through on its negative day on Thursday, when it declined from $16.49 to $16.04.

In absence of a primary catalyst for the decline, the technicals may explain its poor performance on Thursday. After a lower open, it could not retake Wednesday's close ($16.49) and breached the $16.00 level falling to $15.90 then rebounding to close at $16.04.

On Friday, a downgrade from Buy to Neutral by UBS instigated another lower open that continued until it found support at $15.62 and rebounded to $15.88. The current low coincides with its February 3 low at $15.61.

It has been a tough year so far for Bank Of America, falling from its December 31 close ($17.89) to $14.97 on January 16, staging a rebound to the $16.79 before heading lower once again.


20-Year Pro Trader Reveals His "MoneyLine"

Ditch your indicators and use the "MoneyLine." A simple line tells you when to buy and sell without the guesswork. It’s a line on a chart that’s helped Nic Chahine win 83% of his options buys. Here's how he does it.


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Posted In: TechnicalsIntraday UpdateMoversTrading Ideas