Target stock price has been on a downtrend throughout the year and is heading toward the demand zone of $100, making lower low structures. This shows that the bears have been in control and the stock has lost momentum. The stock is below the key moving averages, which indicates further weakness.
Target stock (NYSE: TGT) stock has returned to its previous breakout level, which could act as a support. Technical analysis suggests that the stock is oversold and could bounce back from the lower levels. However, the stock needs to show signs of strength and reversal before confirming a pullback rally.
Target stock (NYSE: TGT) price is in a correction phase but is near the crucial support of $103. If formed, a bearish candle indicates sellers are active and will try to break the lower support. TGT stock price closed the previous session at $106.62 with an intraday drop of 0.50%. If the buyers succeed in defending the current support, then the possibility of a bounce back will increase. However, if the sell-off continues and Target stock drops below lower levels, more downfall is possible.
Buyers tried multiple times to break the 50 EMA and expand upward. However, due to the strong presence of sellers, the price faced rejection. It shows sellers are still active on higher levels.
Technical Analysis: What Is Next for Target Stock Price?
The target stock price is below the downward-sloping 50-day and 200-day EMAs showcasing a downtrend. However, the Target price has gone far away from the EMAs.
The MACD generated a negative crossover and the histogram is also red indicating bearishness. The current value of RSI is 23.11 points. The 14 SMA is below the median line at 28.13 points which indicates that the Target stock is bearish.
$103.00 to $91.61 is the range of the demand zone, and the probability of bouncing back from here is high. However, if it breaks this range, it may go further down.
Weekly-Time Horizon Analysis
Target stock price has shown sellers’ strength on the weekly charts. Moreover, the price traded below the key EMAs, which shows further weakness in the stock. The RSI curve is near the oversold region at 24, and a negative outlook was noted, indicating bearishness in the stock. The MACD indicator also persisted to form red bars, and a bearish crossover was noted, which signals bearish moves.
Summary
Target stock (NYSE: TGT) is in a downtrend. However, the stock price is near the crucial support range of $103.00 to $91.61. If the stock price takes support on this range, then it could probably rebound. Moreover, if the price breaks the support range, then it will go further down below the threshold of $100.
Technical Levels
- Support Levels: $103.00 and $91.61
- Resistance Levels: $122.02 and $130.21
Disclaimer
This article is for informational purposes only and does not provide any financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your own research before making any financial decisions.
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/2023/10/05/target-stock-tgt-stock-price-is-oversold-rebound-imminent/