MMMonster Beverage Corporation
62.78USDR
−1.10−1.72%
At close at Jun 17, 23:01 GMT
USD
No trades
MNST trade ideas
$MNS breakout to new ATHs Great ER forecast catalyst$MNST beverage co. hit ATHs this AM then sold off into the afternoon. Stock moves slow but steady. Monster should be in line to report a terrific quarter with monthly sales #'s at all time highs and CFO said they are in line for highest profit quarter in their company history. Positive technical signals w the MACD crossover to positive, above all MAs, volume increasing as earnings approach. Stock has been consolidating for some time but has made a nice move up lately. Another consumer discretionary/consumer staple stock that could be late to the party like a $WMT and $COST too. Think this can hit 80+ with a ER crush and they do have the greatest returns out of any public company traded on the NYSE in the past 20 years! $MNST Monster Beverages kills it.
Is Monster breaking out of a massive Ascending Triangle?Key Takeaways
The trendlines of a triangle need to run along at least two swing highs and two swing lows.
Ascending triangles are considered a continuation pattern, as the price will typically breakout of the triangle in the price direction prevailing before the triangle. Although, this won't always occur. A breakout in any direction is noteworthy.
A long trade is taken if the price breaks above the top of the pattern.
A short trade is taken if the price breaks below the lower trendline.
A stop loss is typically placed just outside the pattern on the opposite side from the breakout.
A profit target is calculated by taking the height of the triangle, at its thickest point, and adding or subtracting that to/from the breakout point.
This multi year ascending triangle pattern is similar to a previous one Monster created in approximately 2012.
The RSI is displaying a series of lower highs, meanwhile, the price continues to rise which is indicative of a divergence.
Divergence can occur between the price of an asset and almost any technical or fundamental indicator or data. Though, divergence is typically used by technical traders when the price is moving in the opposite direction of a technical indicator.
Positive divergence signals price could start moving higher soon. It occurs when the price is moving lower but a technical indicator is moving higher or showing bullish signals.
Negative divergence points to lower prices in the future. It occurs when the price is moving higher but a technical indicator is moving lower or showing bearish signals.
Divergence isn't to be relied on exclusively, as it doesn't provide timely trade signals. Divergence can last a long time without a price reversal occurring.
Divergence is not present for all major price reversals, it is only present on some.
FYI, price target of the ascending triangle breakout on a log scale is approximately $118.00 USD.
Additionally, I wouldn't be surprised to see Monster enter the cannabis space this year or early 2021. The company has expressed interest & the U.S is "potentially" going to get some clarity on the SAFE Banking or States Act, only time will tell.
Monster Beverage on breakout alertenrty level $61.84 = target price $65.87 = Stop loss $ 60.70
Bullish MA support and aligment.
RSI high but room to run higher.
Impressive volume.
p/e 33
low short interest 3.36%
Monster Beverage Corp. is a holding company, which engages in the development, marketing, sale and distribution of energy drink beverages and concentrates. It operates through the following segments: Monster Energy Drinks, Strategic Brands and Other. The Monster Energy Drinks segment sells ready-to-drink packaged energy drinks to bottlers and full service beverage distributors. The Strategic Brands segment sells concentrates and beverage bases to authorized bottling and canning operations. The Other segment comprises of certain products sold by its subsidiary, American Fruits and Flavors LLC to independent third-party customers. The company was founded on April 25, 1990 and is headquartered in Corona, CA.
$MNST Monster call Buying In Monster Beverages. Bullish option action in the stock with high call buying going into earnings. The stock is ready for a sizable move as is dictated by the indicators and volume from today.
Average analysts price target $66 | Overweight
P/E ratio 29.53
Company profile
Monster Beverage Corp. is a holding company, which engages in the development, marketing, sale and distribution of energy drink beverages and concentrates. It operates through the following segments: Monster Energy Drinks, Strategic Brands and Other. The Monster Energy Drinks segment sells ready-to-drink packaged energy drinks to bottlers and full service beverage distributors. The Strategic Brands segment sells concentrates and beverage bases to authorized bottling and canning operations. The Other segment comprises of certain products sold by its subsidiary, American Fruits and Flavors LLC to independent third-party customers. The company was founded on April 25, 1990 and is headquartered in Corona, CA.
Monster Beverage: Top Buy Pick for 2020.MNST is currently within its cyclical consolidation phase (1W RSI = 47.866, 1M RSI = 51.690, ADX = 21.720, Highs/Lows = 0.0000) following the price peak in 2018. This phase has lasted around 780 days in the past and was always followed by a strong rise to a new peak.
With the 1W MA200 supporting we have entered the last phase of this consolidation and if the Channel Up holds (dashed lines) we can claim that we are on the most optimal buy levels before the next price peak. We have set a 2020 target at 80.00. Risk-seeking investors may aim at the top of the Higher High trend line around 90.00.
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