Merck & Co may fall to 94.40 - 98.50

Our pivot point is at 118.6.

Our preference

The downside prevails as long as 118.6 is resistance.

Alternative scenario

Above 118.6, look for 125.7 and 129.9.

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 below its signal line and negative. The configuration is negative. Moreover, the stock is trading under both its 20 and 50 day moving average (respectively at 122.462 and 126.1512).

Supports and resistances

129.9 **

125.7 *

118.6 **

115.9

111.15 (USD-last)

102.7

98.5 **

94.4 *

90.3 **

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