- Next support is currently 39 cents away at $49.3
- Price action is currently stuck around the active Fibonacci support level of $50.22
STMicroelectronics's bearish run has lasted 8 days so far (-$3.29). Yesterday's session continued down the same path: grinding lower but with no clear-cut direction, the Dutch tech company closed the session at $49.69 after forming a distinct $49.68 – $50.83 range.
The stock has been trending positively for about 3 months. The Dutch semiconductor maker is now trading 6.15% below the significant high of $53.49 it set around 13 days ago.
STMicroelectronics N.V. made an initial break below its 21 day Simple Moving Average at $50.07, a possible indication of a forthcoming negative trend. Price action remains constrained around the key Fibonacci level of $50.22 currently serving as support. If price action breaks below, the next Fib hurdle is $49.21. Despite this, STMicroelectronics could begin to recover as it approaches significant support, now 39 cents away from $49.3. Dipping below could be an indication that further losses are ahead.
Looking forward, STMicroelectronics is poised to extend its strong downtrend and continue declining.
Fundamental indicators – highly important Crude Oil Inventories data from United States beat analyst expectations of -583,000 with a reading of 597,000.
STMicroelectronics was not the only decliner in the technology sector; Qualcomm lost 2.67% yesterday and closed at $120.27. TSM slides down 2.66% yesterday to close at $89.24. IBM stumbles 1.44% yesterday to close at $130.42.
Upcoming fundamentals: United States Producer Price Index is projected to outperform its last figure with 0.1%. It previously stood at -0.1%; data will be released today at 12:30 UTC.