Associated British Foods plc : Upon contact with significant support
By Florian Girard
Entry price | Target | Stop-loss | Potential |
---|---|---|---|
GBX 2,860 | GBX 0 | GBX 2,859 | -100% |
The security has consolidated in a tunnel limited by the significant 2863 support and the GBp 3133 resistance. Many technical arguments are in favor of a rise. The share is currently in the support area that already worked well twice, allowing a technical rebound. Both in daily and weekly data, the stock is close to its lower trend line. Moreover, in weekly data, moving averages are rightly oriented.
As a result, active investors can now take a long position in the security and target the first relevant short term resistance at GBp 3133. A stop loss should be set under the entry point. The breakout of this level would imply further consolidation.