Greene King plc : The bearish trend might get the upper hand
By Pierre Gilles de la Londe
Entry price | Target | Stop-loss | Potential |
---|---|---|---|
GBX 768 | GBX 0 | GBX 797.75 | +100% |
From a fundamental viewpoint, analysts have reduced their EPS expectations during the last few months. This situation could lead investors to take some profit in the short run.
Technically, the security had a technical rebound but there is still a bearish trend in the mid-term as shown by the downward canal. The bullish impetus should be stopped in the coming trading sessions. Thanks to it, the security has reached GBp 770.5 area which correspond to a short term resistance, the upward limit of the downward canal and the 100-day moving average. We have all elements to short the value in order to reach the GBp 716 level.
The bearish trend let envisage a continuation of the downtrend. The entry point could be fixed close to the GBp 770.5 resistance for getting short Greene King. The target price will be the mid-term support area at GBp 716 and a stop loss order must be placed above GBp 770.5.