Yum China may fall to 27.90 - 28.60

Our pivot point stands at 32.4.

Our preference

The downside prevails as long as 32.4 is resistance.

Alternative scenario

Above 32.4, look for 33.5 and 34.3.

Comment

The RSI is trading below 30. This could mean that either the stock is in a lasting downtrend or just oversold and that therefore a rebound could shape (look for bullish divergence in this case). The MACD is negative and below its signal line. The configuration is negative. Moreover, the stock is trading under both its 20 and 50 day moving average (respectively at 33.7105 and 36.097).

Supports and resistances

34.3 **

33.5 *

32.4 **

31.9

30.84 (USD-last)

29.3

28.6 **

27.9 *

27.2 **

Number of asterisks represents the strength of support and resistance levels.