TUI Travel Ltd : Anticipation of a bearish movement
By Anas Boumedian
Entry price | Target | Stop-loss | Potential |
---|---|---|---|
GBX 407.3 | GBX 0 | GBX 417.2 | +100% |
Graphically, the neutral trend dominates in the medium and the long term. The stock lately rebounded upon contact with its GBp 330.50 support, but indicators highlighted now an overbought situation in recent sessions. This shows a limited potential for a possible recovery near the midterm resistance at GBp 412.3. This level was tested several times this year, proving its relevance. Moreover, the moving averages are still downward oriented on weekly data.
This strategy is only based on the technical configuration of the stock. Due to it, investors can open a short position on the short term, close to the GBp 412.3 resistance. The price target is set at GBp 385.6 and 365.6 and a stop loss will be placed above GBp 412.3, in case of a breakout.