The USD 61.7 support area, currently tested, might facilitate a technical rebound. The company’s fundamentals could validate this scenario.

Currently the stock is oversold and, in the mid-term, it is trading in a bearish trend. In the short term, this trend is reversed upon contact with the USD 61.65 area. Mead Johnson Nutrition company should be able to confirm its increase in the next trading sessions. This support is a trading opportunity in order to anticipate a technical rebound towards USD 71.8 and by extension towards USD 77.55.

Considering technical and fundamental elements, it seems to be an appropriate timing to take immediately a long position in order to benefit from the USD 61.65 support area. A first target price will be the USD 71.75 resistance.
A stop loss order will be placed under the mid-term support currently tested. Only a crossing of USD 71.75 would validate a bullish trend in order to aim a higher target price.