Stock of the Day: Booking Holdings

In today’s stock of the day, let’s take a closer look at Booking, which is shaping up into a very familiar technical formation: a head and shoulders pattern, marked with blue lines. At the moment, the price is resting directly on the neckline of this formation. A decisive breakout below this neckline would trigger a signal to sell and could mark the start of a trend reversal to the downside.

On the other hand, there’s also a different perspective to watch. If we connect the head and the top of the right shoulder, we get a strong diagonal resistance, which aligns closely with the upper boundary of a triangle pattern. A breakout above this upper line would invalidate the bearish outlook and instead act as a signal to buy, opening the way for a new upswing.

So, Booking is at a real crossroads. Traders should watch closely to see which side breaks first — the neckline below or the resistance above. Whichever direction wins out will likely set the tone for the next big move in this stock.

Source: https://www.axiory.com/analytics/stock-of-the-day/stock-of-the-day-booking-holdings-2