Wacker Chemie AG : Bearish scenario preferred
Entry price | Target | Stop-loss | Potential |
---|---|---|---|
€53.54 | €0 | €57.2 | +100% |
Technically, the security could run out of steam close to the EUR 55.6 resistance. Indeed, the stock is moving in an upward trend in the short term but it could know a halt. In this context, the downward movement could improve and it should expect a return to EUR 49.2. Indicators show an overbought situation confirming this scenario.
The graphical configuration argues to establish a short position at the current price. The end of the technical rebound, the consolidation phase and overbought situation: Wacker Chemie has all the characteristics for short selling. The first objective will be fixed near the EUR 49.2 short term support area. This strategy should be protected by a stop loss above EUR 55.6.