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May 23, 2023
The e-commerce marketplaces and online auctions operator reached $1,365.64, breaking a 1 year record. Later, it lost $26 and is now trading at $1,339.62.
United States Building Permits is next today at 12:00 UTC.
MercadoLibre made an initial breakout above its 3 day Simple Moving Average at $1,321.17, a potential indicator of a newly emerging bullish phase. Price action overcame a known Fibonacci resistance level at $1,318 by around $21.56 with prices hammering out a $1,309 – $1,365.64 session range. In contrast, Bollinger Band® analysis indicates that current price action is approaching the upper band at $1,351.55, thereby suggesting that MercadoLibre is becoming overvalued. MercadoLibre is $27.62 away from testing key resistance at $1,367.24. Peaking above this level could inspire market bulls and open the path to further gains.
According to technical analysis, it looks as if MercadoLibre likely to continue pointing upward in the short term.
A look at other consumer discretionary stocks also showed bullish price action as Tesla was up 4.85%.
While MercadoLibre was bullish yesterday, the following consumer discretionary stocks underperformed: Nike lost 4% yesterday and closed at $110.18. McDonald's went down 2.1%, closed at $295.55.
Furthermore, the market is looking at projections for United States Crude Oil Inventories are set for a continuation of decline with -920,000 while previous data was 5 million; data will be released tomorrow at 14:30 UTC.
Furthermore, the market is looking at United States New Home Sales (Apr) will be released today at 14:00 UTC. United States Services PMI figure is projected at 52.6. It previously stood at 53.6; data will be released today at 13:45 UTC. United States Building Permits is expected today at 12:00 UTC.
The stock has been trending positively for about 2 months. A day ago the e-commerce marketplaces operator reached a significant high of $1,339.62 but has consequently lost 2.15% since then.
