Global Payments Has Broken Out to the Upside: Here's When to Get Long

The shares have formed a base pattern on the charts.

Global Payments (GPN) provides payment services "to merchants and other financial organizations." The shares have broken out on the upside from a bottom pattern, so let's check and see how and where we might go long.

I noted the bottoming process in my April 3 review.  

In the daily bar chart of GPN, below, I can see that share prices found buying interest around $95 several times in the past year before launching a move to the upside in late June. The shares have jumped nearly $35 in a short period of time so new purchases need to be made carefully. GPN trades above the rising 50-day moving average line and above the bottoming 200-day line.

The trading volume has increased since early May and that is a positive development. The On-Balance-Volume (OBV) line shows improvement/strength from early June. The Moving Average Convergence Divergence (MACD) oscillator is in a bullish alignment above the zero line. 

 

In the weekly Japanese candlestick chart of GPN, below, I can see a developing positive-looking picture. The shares are trading above the 40-week moving average line.

 

The weekly OBV line has been neutral since the beginning of 2022. The MACD oscillator is just now edging above the zero line for an outright buy signal. 

 

 

 

In this daily Point and Figure chart of GPN, below, I can see that the software is suggesting a potential upside price target in the $150 area. 

 

 

In this weekly Point and Figure chart of GPN, below, the X's and O's hint at a $152 price target.  

 

 

 

 

Bottom-line strategy: GPN's charts are bullish so how should we go about getting long? Traders should wait for a dip into the $124 area, risk to $118 with $150-$152 the price target.

 

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