BASF has both fundamentals qualities and an opportune technical configuration.

According to the Surperformance ratings, the company shows an interesting fundamental situation for a short term strategy. Indeed, the firm is a good compromise between its valuation and its visibility.

After many weeks of horizontal oscillations within the EUR 65.5 / 76 mid term range, the security is coming back near the lower limit of that range. Moving averages show some neutrality and technical indicators are oversold.

The EUR 66.70 area could therefore trigger a positive reaction in the coming trading sessions and allow the stock to bounce toward the EUR 71.6 short term resistance. A stop loss must be placed below EUR 65, to prevent from a sharper bearish trend.