Tesco - Bouncing from the 61.8% Fibonacci support

Tesco PLC (Tesco) is a retail company. The Company is engaged in the business of Retailing and associated activities (Retail) and Retail banking and insurance services.

It’s been a tough few months for Tesco shareholders with the shares having slumped over 13% from the 2019 high. The business has embarked on a massive overhaul over the past 5 years to make the operation a lot more efficient, which has put the company in a good position overall. The operating margin is continuing to rise, and management believe 4% is achievable in the short term. The company looks set to maintain its position in the market and continue to grow its earnings .

Best Broker Target Price: 285p (Deutsche Bank 19/06/2019)
Worst Broker Target Price: 230p (Goldman Sachs 02/04/2019)

Technical Analysis
2019 started off so well for Tesco share holders with the shares rising from 187p to 254p in the space of just over 4 months. The recent decline from those highs has not been so impressive, but some support appears to be forming around the 61.8% Fibonacci support level at 212.7p. There have been a number of bullish candle around this price, which is an indication that buyers are returning.

Recommendation: Buy
Buy between 215-225p
Stop: 210p
Target: 250p


Where next? ...
@GWAVE, Hey, I think upside may be limited. The price has stalled at the 78.6% Fibonacci level and it's possible that a bearish channel has/is forming.

+1 Reply
GWAVE Investamate
@Investamate, I would concur, many thanks mate ...
Home Stock Screener Forex Screener Crypto Screener Economic Calendar How It Works Chart Features Pricing Refer a friend House Rules Help Center Website & Broker Solutions Widgets Charting Solutions Lightweight Charting Library Blog & News Twitter
Profile Profile Settings Account and Billing Referred friends Coins My Support Tickets Help Center Ideas Published Followers Following Private Messages Chat Sign Out