- Dolby Laboratories is eyeing $84.61 as its nearest support level
- Dolby Laboratories looks below $85.03 (10 day Simple Moving Average) as signpost for new negative trend
After a 21 day of trading sideways Yesterday's session suggests a further slow down: an influx of sellers pushed the US audio specialist to end the session lower around $85.03, while establishing a $84.68 to $85.6 session range yesterday.
The stock has been trending positively for about a month. The consumer audio electronics company has gained 19.59% since its lowest print of $63.44 earlier this year.
Dolby Laboratories, Inc. made an initial break below its 10 day Simple Moving Average at $85.03, a possible indication of a forthcoming negative trend. Dolby Laboratories's upper Bollinger Band® is at $86.41 which indicates a further downward move may follow. Despite this, Dolby Laboratories could begin to recover as it approaches significant support, now 42 cents away from $84.61. Dipping below could be an indication that further losses are ahead.
Several technical indicators are adding weight to the bearish momentum seen yesterday and forecasting Dolby Laboratories to extend its recent losses.
Fundamental indicators – United States Existing Home Sales (Mar) came out at 4.44 million, while a consensus of analysts was expecting 4.5 million.
Dolby Laboratories was not the only decliner in the communication services sector; AT&T closed at $17.65 (down 10.41%). Verizon went down to $37.19, losing 3.65% after it closed at $38.6 yesterday. T-Mobile went down to $145.94, losing 1.91% after it closed at $148.78 yesterday.