AstraZenecca Bullish trend is still intact

Market chart showing uptrend
AstraZeneca, the biopharmaceutical company, said that “the Company has concluded the first agreements for at least 400 million doses and has secured total manufacturing capacity for one billion doses so far and will begin first deliveries in September 2020. AstraZeneca today received support of more than $1bn from the US Biomedical Advanced Research and Development Authority (BARDA) for the development, production and delivery of the vaccine, starting in the fall."

AstraZeneca recalls joining forces with the British government to support the Oxford University vaccine. It is also working with international organizations, including the WHO, to distribute the vaccine worldwide.

From a chartist’s point of view, the stock price remains within a short term bullish channel, supported by the 20-day simple moving average currently at 8,550p. Bollinger bands confirm the bullish trend. However, the Relative Strength Index (RSI, 14) has broken down its overbought area at 70% indicating that a consolidation move could be on the cards. First support threshold is set at 8,522p (Horizontal level + Channel lower boundary). 

As long as 8,048 is support, readers may want to take advantage of any pullback as an opportunity to open long positions with 9,000p and 9,600p as targets.
Alternatively, a break below 8,048 would call for a reversal down trend towards 7,300p.

Souce: GAIN Capital, TradingView

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