Verizon - Dog of the Dow Play for 2023?

With so many stocks down so much from highs achieved just months ago, we can start to look for opportunities of interest. I emphasize interest, as the primary trend for many markets and sectors is down. We don’t need to find the bottom, but we can look for signs of even short term trend change (within the context of a broader bear market) for trading opportunities.

Below - A daily chart of VZ 0.00%↑ , which highlights July’s gap down and drop, and October’s bounce (both following earnings). The volume by price bars on the right side show us that there’s a heavy wall of sellers in the $50 range. At $38 today, using the recent October bottom as a downside risk management level, represents about $3 of downside. With a nearly $12 range back up to a previous wall of resistance selling, a risk/return favored bet could be made (I’m not suggesting the top level of that range is the exit point; exiting an investment is more subjective to the individual investor than identifying the entry point. You want to be making bets with a R/R north of 1.0).

Some other related charts

Above - Daily Chart with 50,150, 200 day moving averages. We can see how extreme this chart has become.

Finally, a relative chart of VZ 0.00%↑ to SPY 0.00%↑