In the past few sessions, Activision Blizzard have suffered from a sharp fall and is now coming back on significant level support.

In the recent months, the earnings estimates for the next year were lightly revised upward by analysts. With an EPS estimated at 0.77 USD for this year and 0.9 USD for the next year, Activision Blizzard is currently paid 14.37 and 12.36 times the results.

Technically, the security is in a negative configuration in the short term as the bearish trend of 20-day moving average, currently at USD 11.9, shows it. Nevertheless, the stock seems in an oversold situation, near to its USD 11.1 support in daily data. This level might stop the bearish trend in the short term.

The trading strategy can benefit from the proximity of the strong support currently tested in order to buy Activision Blizzard in a good timing. The target will be placed at USD 11.7. Investors might placed a stop loss order at USD 10.8 in order to avoid important losses.