The Weir Group PLC : Bearish scenario preferred
By Etienne Veber
Entry price | Target | Stop-loss | Potential |
---|---|---|---|
GBX 1,971 | GBX 0 | GBX 2,085 | +100% |
Graphically, the share is in a period of technical rebound that allowed it to reach the GBp 2074 mid-term resistance. This area could trigger a sell signal for investors in case of profit-taking.
The upside seems limited as shown by technical configuration. In contact with the GBp 2074 resistance, a movement of consolidation could return the stock towards the GBp 1810 mid-term support. As a result, the most aggressive investors could open a short position in the current area but they need to set a stop loss above the GBp 2074 resistance because the crossing of this level would invalidate our scenario.