Fifth Third Bancorp operates as a diversified financial services company in the United States. As of December 31, 2018, the company operated 1,121 full-service banking centers and 2,419 ATMs in Ohio, Kentucky, Indiana, Michigan, Illinois, Florida, Tennessee, West Virginia, Georgia, and North Carolina. Fifth Third Bancorp was founded in 1858 and is headquartered in Cincinnati, Ohio.
Take a look at the 1-year chart of Fifth Third (NASDAQ: FITB) below with my added notations:
During the past five months, FITB has formed an important level of resistance to watch at $28 (red) mark. The stock is back up to the level again, and a close above it should lead to higher prices for FITB.
The Tale of the Tape: FITB has a key level of resistance at $28. A long trade could be entered on a break through that level. However, if you are bearish on the stock, a short trade could be made on any rallies up to $28.
Before making any trading decision, decide which side of the trade you believe gives you the highest probability of success. Do you prefer the short side of the market, long side, or do you want to be in the market at all? If you haven’t thought about it, review the overall indices themselves. For example, take a look at the S&P 500. Is it trending higher or lower? Has it recently broken through a key resistance or support level? Making these decisions ahead of time will help you decide which side of the trade you believe gives you the best opportunities.
No matter what your strategy or when you decide to enter, always remember to use protective stops and you’ll be around for the next trade. Capital preservation is always key!
Christian Tharp, CMT