OPEN stock price slumped nearly 3.51% in intraday on Thursday and closed at $2.20. The latest price decline caused a breakdown of the consolidation range formed in the last 27 sessions.
The breakdown below the consolidation has turned the price trend in favor of bears. The stock price may continue to decline to lower levels in the coming sessions. The price has an immediate support of $2 and $1.5 on the lower side which might try to halt the decline.
Moreover, Opendoor Technologies Inc. is yet to declare its third quarterly results on Thursday, 2nd November. The pre-earning sentiments have turned negative which might change if the company reports promising quarterly results.
The revenue estimate by Wall Street Analysts is $1.012 Billion. Also, the analysts estimate an earning of -$0.20 Billion for the current quarter. Opendoor Technologies Inc. operates as an online platform for buying and selling residential properties. The company holds a market cap of $1.45 Billion.
OPEN Stock Price Analysis Over Weekly Chart
The weekly chart illustrates a continuous drawdown below the key moving average of 50-day EMA. The stock price is nearing the previous breakout zone which might invite buying volume in the stock and the price may show gains.
Moreover, the stock may turn negative if it fails to sustain near the recent breakout zone.
Technical Indicators Signal Bearish Outlook
The overall technical opinion rating including RSI and MACD is signaling a 56% “sell” with the strengthening short-term outlook on maintaining the current direction.
The analysts offering a 1-year price forecast for Opendoor Technologies see a maximum potential of 127% to the upside that could lead the price to a high of $5. The bearish outlook of the analysts sees a potential of 54.55% to the downside reaching a low of $1.
Conclusion
OPEN stock price broke down below the consolidation and turned bearish. The price may decline further to the support levels of $2 and $1.5. The company will report quarterly results on 2nd November which may cause volatility in the stock price.
The analysts expect revenues of $1.012 Billion and earnings of -$0.20 Billion. The weekly chart shows a drawdown below the 50-day EMA. The price may recover if it sustains near the previous breakout zone.
Technical Levels
- Support levels: $2.02 and $1.66
- Resistance levels: $2.83 and $3.19
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational purposes only and do not establish financial, investment, or other advice. Investing in or trading crypto or stock comes with a risk of financial loss.
Nancy J. Allen is a crypto enthusiast and believes that cryptocurrencies inspire people to be their own banks and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning.
Source: https://www.thecoinrepublic.com/2023/10/20/open-stock-price-analysis-can-opendoor-stock-retest-2-level/