BROS stock (NYSE: BROS) is clung in a narrow span and trying to escape the thin range. For the last week, sellers attempted to break the support mark of $30, and selling pressure was witnessed in stock. At the same time, buyers try to hold the price above the demand zone for a comeback in near sessions. The price action shows that the bears monopolized the stock behind the last few sessions. Bulls are declining the pace of action as the stock price fell below significant moving averages.
Dutch BROS stock was at $31.41 during the Friday market session, with a drop of 2%. The stock shows consolidating moves and indicates a bearish chart structure. Moreover, momentum was shifting towards sellers from the last month, suggesting a below-the-support mark of $30 a free fall towards $26 can be tested. On the other hand, if the stock persists in holding a range above $33, then a trendline breakout needs to break for further bullish moves. BROS stock needs to sustain above 20 EMA to bring momentum.
Is BROS going to retest the $28 support mark?
Dutch BROS stock is looking to retest the strong support range near $28 for making a double bottom structure, as price action indicates. The stock could not sustain 20 and 50 days EMA, gradually slipping towards the demand zone. However, stock penetrates a narrow congestion range with lower volumes.
As per Fib levels, BROS stock trades below the important levels and shows a weak chart structure. Moreover, the lower trendline broked out in the last trading session brings more weakness and price towards the support range. From being rejected by 200 days EMA, stock slips below and shatters every strong range.
Dutch BROS Technical Analysis
BROS stock on a 4-hour chart consolidating in a thin range and shows an “M” pattern breakdown. Moreover, the RSI curve shows a negative crossover and continues to decline towards the selling region. The price action favors bears with the straight 4 days of selling pressure on the stock. BROS declined by over 12% in the last 7 trading sessions
The MACD indicator shows a bearish crossover in the last session, indicating that selling pressure will exceed if the price goes below $30. However, bulls are trying to hold the price above the support mark to maintain the strength in the stock.
Support Levels: $30 and $28
Resistance Levels: $35 and $40
Conclusion:
BROS stock price shows a bearish chart structure and will suffer more selling pressure with the global market weakness. The strong support mark of $30 will be tested soon for further swings.
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational purposes only, and they do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Steve Anderson is an Australian crypto enthusiast. He is a specialist in management and trading for over 5 years. Steve has worked as a crypto trader, he loves learning about decentralisation, understanding the true potential of the blockchain.
Source: https://www.thecoinrepublic.com/2023/03/13/will-bros-stock-nyse-bros-escape-the-congestion-zone/