Chipotle Mexican Grill, Inc. : Recovery on the USD 633.5
By Florian Girard
Entry price | Target | Stop-loss | Potential |
---|---|---|---|
$637.5 | $0 | $621 | -100% |
Analysts are mainly on the “buy” side and the stock has a +16% potential to reach the consensus average target price. The security recently dropped briskly because investors over-reacted on the "missed expectations" sales.
Technically, the security is in a negative configuration in the short term as the bearish trend of 20-day moving average, currently at USD 665.1, shows. Nevertheless, the stock seems being oversold, near its significant USD 633.5 support in daily data, due to its 7 % down on last trading sessions. This level might stop the short term slumping and initiate a technical rebound.
The trading strategy can benefit from the proximity of the strong support currently tested in order to buy Chipotle Mexican Grill in a good timing. A first target could be the USD 687.3 pivot point. Investors might place a stop loss order at USD 621 in order to avoid important losses.