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What to Expect from Ford on Wall Street This Week?

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Ford Motor Company

What to Expect from Ford on Wall Street This Week? and is known for the innovation it brought to the automobile industry by introducing the moving assembly line concept of auto manufacturing.

In this article, we’ll look at Ford’s recent performance on Wall Street and key technical levels for its stock.

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Quick review

As suggested in our previous week’s technical review series, the company’s price breached the ascending price channel due to weak underlying momentum.

Notably, Ford’s stock witnessed a massive fall after its 2Q16 earnings release on July 28, 2016. In its 2Q16 earnings presentation, the company highlighted risks and cautioned investors about a possible downturn in US auto sales. This was followed by a massive sell-off of its stock.

In last few months, automakers (FXD) such as Fiat Chrysler (FCAU) and Toyota Motor (TM) have also indicated slowing US auto sales.

Key support and resistance levels

Ford witnessed a 2.2% fall last week and closed at $12.11 on September 16, 2016. This fall brought its price closer to its next support level of $12.00, which was also a swing low as posted on June 27, 2016. A breach of this support area will likely attract renewed selling pressure toward the key horizontal support level of $11.45. On the upside, the stock’s price is likely to see resistance near $12.40.

Continue to the next article to know how Fiat Chrysler’s last week’s movements could change its technicals.

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