Current trend

Shares of Adobe Inc., a leading American software developer, have been falling for the second month. During this time, the price rebounded from the 578.12 mark (Murrey level [5/8]), entered the lower reversal zone of the Murrey trading range, and is currently testing the 484.38 area (Murrey level [–1/8]). Consolidation below will allow the negative dynamics to reach 468.75 (Murrey level [–2/8]), 453.12 (Murrey level [–2/8], H1), and 437.50 (Murrey level [2/8], W1). After a breakout of the upper line of Bollinger Bands 515.62 (Murrey level [1/8]), growth to the zone of 546.88 (Murrey level [3/8]) and 562.50 (Murrey level [4/8]) may follow.

Technical indicators reflect the formation of a downward trend: Bollinger Bands are directed downwards, the MACD histogram is stable in the negative zone, and Stochastic is horizontal in the oversold zone.

Support and resistance

Resistance levels: 515.62, 546.88, 562.50.

Support levels: 484.38, 468.75, 453.12, 437.50.

Trading tips

Short positions may be opened below 484.38, with the targets at 468.75, 453.12, 437.50, and stop loss 494.00. Implementation period: 5–7 days.

Long positions may be opened above 515.62, with the targets at 546.88, 562.50, and stop loss 503.00.