Fifth Third Bancorp is a bank based out of Cincinnati, Ohio. It is among the largest banks in the US and a part of the Fortune 500 list. Fifth Third Bancorp has a strong presence in the Midwest. The bank has strong financial metrics like a high CET1 ratio, stable net interest margins, and resilient fee income. Additionally, its loan losses haven’t been as bad as expected. The bank is, therefore, expected to perform well in the current low-interest environment.
The long term monthly chart for FITB shows an uptrend that peaked in the middle of 2018. Since then, the stock has fallen by close to 70% over a 2 year period. The most recent fall from January to March of 2020 took the price below the bottom of the long-term trend. However, since April, the stock has risen by 100% and gone past a crucial support-resistance level at $23. The price now looks set to test the $31 level. A minimum stop loss can be placed below the $23-support level,
Position entered into our long term portfolio today. The entry point is at $30.66 and stop-loss $18.50 which is 27% below the entry point. The short-term to medium take profit is set at $41.26 giving a profit of 35%.
On the video and images above you will see the reason this stock was selected.
You will see the image is of a monthly chart of the stock showing the long-term upwards trend formed over the years. You will also see the entry point and the where the stop loss is placed. For more information please watch the video given.
Once it is time to move the original stop loss up you will see an additional image.