The price of AMC stock has been declining for the last three weeks as a result of opposition from higher levels and the formation of lower lows. This demonstrates that the stock has lost momentum and that the bears have been in charge. The stock has also fallen below the important moving averages, a sign of future deterioration.
According to the technical analysis, the price of the AMC stock is oversold and may retrace its earlier losses. Before validating a retreat rally, the stock must first demonstrate strength and a reversal.
While in a corrective phase, AMC stock is now trading close to the critical support level of $8.00. It developed a bullish candle, signifying that buyers are active and would make every effort to make a comeback. The stock price of AMC Entertainment Holdings, Inc. ended the previous session at $8.30, down by 0.48% intraday.
The likelihood of a bounce-back will rise if the buyers are successful in protecting the existing support. More decline is nonetheless probable if the sell-off persists and AMC stock falls below lower levels.
Buyers repeatedly attempted to extend upward and break the upper range. However, prices were rejected because of the profusion of dealers. It demonstrates that sellers remain active at greater levels.
AMC Stock Price Technical Analysis in 1-D Time Frame
AMC Stock Protects $8 Level: Is AMC Prepared to Rebound?
The price of AMC is below the 50-day and 200-day exponential moving averages, showing a downtrend. The AMC price, meanwhile, has strayed far from the EMAs.
The RSI index is at 33.59 points. The 14 SMA is above the median line at 29.51 points, indicating a bearish inclination for the AMC stock. The histogram is green, suggesting bullishness, and the MACD produced a positive crossing. The MACD curve, nevertheless, is still in the negative zone.
Analysis of the weekly time horizon
The weekly charts for AMC stock have demonstrated the power of the sellers. Furthermore, the stock is showing additional weakness because the price is below the important EMAs. Nearly 38 represents the oversold area on the RSI curve. There was a negative outlook found, indicating that the stock was bearish. Red bars continued to build on the MACD, and a bearish crossing was seen, which denotes corrective actions.
Technical oscillators for the AMC stock support the negative trend. The stock price of AMC Entertainment Holdings, Inc. may continue to decline since the MACD, RSI, and EMAs are accentuating bearish signals. The price movement of AMC indicates that on a one-day time period, traders and investors are pessimistic. Right now, the price activity shows a gloomy outlook.
Levels of Technology
$8 and $7 in support levels
Levels of Resistance: $10.00 and $15.00
This article does not offer any investment, financial, or other advice; it is purely for informative reasons. Any financial loss resulting from trading or investing is not the fault of the author or anyone else referenced in this post. Before making any financial decisions, kindly conduct your own research.