Current trend

Shares of Pfizer Inc., the largest American pharmaceutical company, are correcting around 27.37.

The corporation managed to stabilize its sales and revenue figures after a drop in demand for drugs in the anti-COVID–19 category but management is taking measures to restore its position in the market. Thus, Pfizer Inc. sold just under 10.0% of its stake in British company Haleon Plc., acquired in 2022 in the amount of 32.0%, which brought it about 3.5B dollars.

In turn, experts from Argus Research Co. downgraded the issuer’s securities rating from Buy to Hold, and expectations for revenue growth dropped to 3.0–5.0%, below 7.0% previously. The first quarter financial report will be released on May 1, and the current revenue estimate is 14.21B dollars, down from 14.25B dollars in the prior period, and earnings per share (EPS) could reach 0.548 dollars, up from 0.100 dollars previously.

Support and resistance

On the daily chart, the trading instrument is correcting close to the resistance line of the downward corridor of 27.00–21.00.

Technical indicators are holding an unstable buy signal, ready to reverse downwards: fast EMAs of the Alligator indicator are holding above the signal line, narrowing the range of fluctuations, and the AO histogram is forming downward bars above the transition level.

Resistance levels: 28.30, 30.30.

Support levels: 26.80, 24.50.

Trading tips

Short positions may be opened after the price declines and consolidates below 26.80, with the target at 24.50 and stop loss 27.40. Implementation period: 7 days or more.

Long positions may be opened after the price rises and consolidates above 28.30, with the target at 30.30. Stop loss is below 27.50.