Watch These Ford Price Levels as Automaker's Stock Plunges After Earnings Miss

Ford (F) shares tumbled astir 14% successful premarket trading Thursday aft nan automaker reported quarterly earnings that came successful beneath expectations and kept its full-year bottom-line outlook unchanged, arsenic warranty costs continued to measurement connected nan company’s profitability.

Below, we return a person look astatine nan Ford floor plan and usage technical analysis to find cardinal value levels to watch amid anticipated earnings-driven trading pressure.

Shares Undergo Retracement Ahead of Earnings

Since breaking retired from a descending channel successful precocious June, Ford shares continued trending higher for respective weeks but person undergone a retracement successful caller trading sessions starring into nan carmaker’s quarterly results.

Moreover, nan relative spot scale (RSI) has fallen beneath overbought levels, indicating softening value momentum.

Monitor These Key Support Areas

Amid an earnings-related sell-off, investors should support an oculus connected 3 cardinal areas connected nan Ford floor plan wherever nan shares could pull buying interest.

The first sits astir $12, a level wherever nan value whitethorn brushwood support adjacent nan 200-day moving mean (MA) and a horizontal line that cuts done a scope of comparable value points from October 2022 to June this year.

A breakdown beneath this level could spot nan shares diminution to nan $11.20 region, wherever buyers whitethorn activity entry points adjacent to a trendline connecting aggregate swing lows that formed connected nan floor plan betwixt September 2022 and January this year.

Finally, a much important move little could lead to a retest of $9.70, an area connected nan floor plan apt supported by bargain hunters looking for buying opportunities adjacent this year’s debased and beneath nan psychological information number of $10 per share.

When monitoring nan levels outlined above, see utilizing different technical indicators, specified arsenic nan RSI, stochastics oscillator, and bullish candlestick patterns, arsenic confirmation that nan earnings-related pullback whitethorn beryllium ending.

Projecting Longer-Term Upside Price Target

If nan stock’s existent uptrend rhymes pinch nan move higher from October 2023 to April this year, we tin usage a bars shape to forecast a early price target.

We do this by taking nan bars shape from that play and applying it from nan debased of nan descending channel, which projects a target of astir $16.

Ford shares were down 13.9% astatine $11.77 successful caller premarket trading.

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As of nan day this article was written, nan writer does not ain immoderate of nan supra securities.