Yum Brands Inc. (YUM stock) price broke below the channel $130 under sustained selling pressure. Moreover, YUM share price is below the key moving averages, suggesting that the seller interest is likely to drag the price below the primary support zone of $120. However, the chart structure is neutral, and buyers have held on decisively and continue to accumulate the stock. Furthermore, the YUM stock sustains nearly $120. Recovery toward the 200-day EMA is be anticipated.
YUM Brands is trading close to the immediate support of $125, a rebound toward a 100-day EMA near $130. If it comes, buyers will arise to extend the buying momentum and chase the recovery toward $140. Furthermore, the uptrend is depicted on the charts, but an uneven profit booking lays the price below the cluster of $130, which is a buying opportunity for investors. YUM stock will retain the swing of $150 and will proceed with the buying momentum to shift the rally to $170, followed by $180 as per the Fib levels.
At press time, YUM stock price was $125, with an intraday gain of 0.25%, showing neutrality on the charts. Moreover, the trading volume increased by 0.35% to 1.676 Million, and the market cap is $35.026 Billion. Furthermore, analysts maintained a buy rating with a yearly target price of $149.19, suggesting a solid growth outlook for the upcoming sessions.
Yum! Brands, Inc. is a service restaurant company that engages in the development, operation, franchise, and licenses of a system of restaurants. It operates through the following segments: KFC Division, Pizza Hut Division, Taco Bell Division, and Habit Burger Grill Division. The KFC Division segment consists of all operations of the KFC concept. The Pizza Hut Division segment operates the Pizza Hut concept. The Taco Bell Division segment includes all operations of the Taco Bell concept. The Habit Burger Grill Division segment includes its worldwide operations of the Habit Burger Grill concept.
YUM Stock Price Action on Daily Charts
On the daily charts, YUM stock price persisted in gaining momentum, but showed uneven profit booking, and retested the immediate support zone of $125. Furthermore, the short positions were trapped, and a sudden dip was due to the fresh shift in open interest, which investors took for a buying opportunity and persisted in accumulating.
The RSI curve is below neutrality, showing a bearish divergence and a volatile chart structure.
The MACD showed a bearish crossover, and the red bars on the histogram suggest that the battle will be interesting in the upcoming sessions.
Summary
YUM Brands (YUM stock) price is near neutrality and is close to the support zone of $125, where buyers will attempt to rebound and surpass the 200-day EMA cluster that will permit YUM stock to re-enter the channel. Furthermore, the trend is intact, and buying accumulation and long build-up activity suggest that YUM stock is likely to skyrocket soon.
Technical Levels
Support Levels:$120 and $100
Resistance Levels: $130 and $150
Disclaimer
The views and opinions stated by the author or any other person named in this article are for informational purposes only and do not constitute financial, investment, or other advice. Investing in or trading crypto or stocks 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/2023/09/24/yum-brands-nyse-yum-faces-breakdown-will-yum-settle-at-120/