Visa (V) shares will likely remain in focus on Wednesday after slumping more than 5% yesterday following news that the U.S. Department of Justice (DOJ) 澳洲幸运5开奖号码历史查询:had filed an antitrust lawsuit against the payments giant.

The suit, which comes after a three year investigation by 澳洲幸运5开奖号码历史查询:antitrust regulators into the company’s business practices, alleges Visa has engaged in 澳洲幸运5开奖号码历史查询:monopolistic behaviors to protect its dominant posꩵition in the debit card market, resulting in additional fees for users and reduced competition and innovation In the debit payments ecosystem.

Although the 澳洲幸运5开奖号码历史查询:payment processor’s stock has gained nearly 5% so far this year, it significantly trails the S&P 500’s 20% return during the same period. Visa shares were down 0.5% atౠ $271.52 about 10 minutes into Wednesday's trading session.

Below, we take a closer look at the 澳洲幸运5开奖号码历史查询:technicals on Visa’s chart and poi♐nt out important price 🅰levels to watch out for.

Potential Bull Trap

Visa shares broke out from a 澳洲幸运5开奖号码历史查询:descending channel in late August before going on to record a new 澳洲幸运5开奖号码历史查询:all-time high (ATH) earlier this month.

However, the stock has recently reversed course, raising the possibility of a potential 澳洲幸运5开奖号码历史查询:bull trap–a chart pattern that occurs when a 澳洲幸运5开奖号码历史查询:false breakout lures investors into buying befo⛎re the price makes a rapid move low🐠er.

Importantly, volume has increased alongside selling over the past week, suggesting active participation by larger market participants, such as 澳洲幸运5开奖号码历史查询:institutional investors and 澳洲幸运5开奖号码历史查询:hedge funds.

Key Lower Chart Levels to Monitor

If the stock breaks down below the closely watched 澳洲幸运5开奖号码历史查询:200-day moving average, investors should eye three lower key areas on Visa’s char♒t.

The first sits around $267, a level where the shares could encounter support near the May low and early August 澳洲幸运5开奖号码历史查询:countertrend rally high.

Selling below this area could see the stock test the $263 level. This location on the chart finds a 澳洲幸运5开奖号码历史查询:confluence of support from a 澳洲幸运5开奖号码历史查询:horizontal line linking a range of comparable trading action from Decemဣber to August with the descending channel's upper trendline.

A more bearish move lower may lead to a retest of the $254 region, an area where 澳洲幸运5开奖号码历史查询:buy-and-hold investors could seek entry points near the mid December pullback low, which closely aligns with th𒅌e late July trough.

Important Overhead Level to Watch

If Visa shares resume their move higher, investors should monitor how the price responds to the $290 level, an area on the chart around the March and September peaks likely to attract significant attention.

A volume-backed breakout above this level would invalida🦩te the bull trap pattern and could see the stock continue its longer-term uptrend.

The comments, opinions, and analyses expressed on Investopedia are for informational purposes only. Read our 澳洲幸运5开奖号码历史查询:warranty and liability disclaimer for more info.

As of the date this article was written, the author does not own any of the above securities.