Dollar Tree’s (NASDAQ: DLTR) stock price shows bearishness, losing the gains below key moving averages. Recently, DLTR stock touched the upper trendline of $154, but the flight did not last long as the bears down the price. Afterward, DLTR buyers did not hold the momentum and started unwinding their positions resulting in slippages in stock price.
However, Dollar Tree stock stayed in a downtrend over the past months and persisted in forming lower highs and lower lows sequences, facing rejection from the upper trendline, which acted as a barrier to exiting the trend. Moreover, the price action shows that Dollar Tree stock has persisted in facing selling pressure, and buyers have stayed on the back foot. In contrast, sellers have a strong edge and continue to make short positions.
At press time, DLTR stock was trading at $147.30 with an intraday minor loss of 0.92%, breaking below the 200-day SMA, showing bearishness on the charts. Moreover, the intraday trading volume is 1.889 Million and the last 10 days’ average volume is 1.452 Million. The market cap of DLTR stock is $32.456 Billion.
This year’s performance isn’t impressive so far. Year-to-date, it gave returns of only 3.99% and a negative return of -0.53% in the span of 6 months. In the last 1 month, it gave a negative return of -0.53% and -2.48% in the last seven days indicating a long bearish trend continued till now.
Technical Analysis of Dollar Tree Stock Price in 1-D Timeframe
Dollar Tree stock is currently trading below the 50-day MA and took support on 200-day SMAs, which are providing support to the price trend. However, if selling pressure increases, the price could break below 200 SMA and move lower.
The RSI indicator is currently at 39.53, which is in the neutral zone. However, the 14-day SMA is below the 50 level, which is a bearish signal.
The MACD indicator is also bearish, with the MACD line crossing below the signal line indicating that Dollar Tree stock is likely to continue to fall in the near future.
Overall, the technical indicators suggest that Dollar Tree stock is bearish in the short term. However, if it can maintain the $50 level, it could continue to rise in the long term.
Summary
Dollar Tree (NASDAQ: DLTR) technical oscillators also support the bearish trend. The MACD, RSI, and EMA are emphasizing negative signs and imply that the downtrend may continue in the DLTR stock price. Dollar Tree Price action suggests that the investors and traders are bearish on the 1-D time frame. The price action reflects a bearish perspective at the moment.
Technical Levels
- Support Levels: Nearest support levels are $143.57 and $130.00.
- Resistance Levels: Nearest resistance levels are $154.50 and $161.30.
Disclaimer
The analysis provided in this article is for informational and educational purposes only. Do not rely on this information as financial, investment, or trading advice. Investing and trading in stock involves risk. Please assess your situation and risk tolerance before making any investment decisions.
Andrew is a blockchain developer who developed his interest in cryptocurrencies while his post-graduation. He is a keen observer of details and shares his passion for writing along with being a developer. His backend knowledge about blockchain helps him give a unique perspective to his writing
Source: https://www.thecoinrepublic.com/2023/08/12/dollar-tree-stock-prediction-what-to-expect-from-dltr-in-2023/