MerkOk this looks oversold.
In fact,
Oversold on multiple timeframe
So here’s a technical analysis with potential price targets and trade direction:
Current Market Conditions & Observations
1. Trend Direction: Bearish
• The stock is in a clear downtrend, breaking multiple levels of support.
• Break of Structure (BOS) labels indicate lower lows forming consistently.
• A recent breakdown below support at ~$94.23 suggests further downside pressure.
2. Support & Resistance Zones:
• Current support: ~$85.50 (testing support level)
• Next major support: ~$80.00 (potential downside target)
• Major resistance: $94.00 (previous support turned resistance)
• Further resistance zones: $100 - $105 (if a reversal happens)
3. Indicators:
• Stochastic RSI: Oversold territory (possible short-term relief bounce)
• Volume: Elevated selling pressure, confirming the downward move.
• Liquidity zones & Order Blocks: Price has entered a demand zone near $85.
Trade Outlook & Price Targets
• Short-Term Bearish Bias: The breakdown suggests continued downward momentum. If $85.50 breaks, next downside target is $80.00.
• Possible Relief Rally: A short-term bounce could occur if buyers defend $85.50, but upside is capped at $94.00 unless strong momentum builds.
• Long-Term Reversal: Would require a break back above $100-$105 to shift into a bullish structure.
Trade Strategy Ideas
1. Bearish Scenario (Short Trade)
• Entry: Rejection near $90-$94 zone.
• Target 1: $85.50 (current support).
• Target 2: $80.00 (major demand zone).
• Stop-loss: Above $96.00 (invalidate bearish setup).
2. Bullish Scenario (Reversal Play)
• Entry: If price holds $85.50 with strong volume.
• Target 1: $94.00 (resistance).
• Target 2: $100 (trend change confirmation).
• Stop-loss: Below $83.00 (breaks structure).
Final Outlook
• Bias: Bearish unless $85.50 holds.
• Short-term: Expect further downside pressure.
• Medium-term: A break below $85.50 could lead to $80.00.
• Long-term: Needs a reclaim above $100 to flip bullish.
