Allianz SE – Will the rally end soon?

The stock looks attractive from a chart perspective. It is in a long-term uptrend. A clear trend channel exists. However, the last movement ended exactly at the trend channel limit and a small consolidation started. This has been going on for a few days now. Our main scenario from here envisages a volatile sideways phase. We expect a retest of the upper trend channel limit in the coming weeks. However, we also expect a renewed bounce off the same. As the year progresses, a retest of the prominent horizontal support at €280 should be on the agenda. An acceleration of the upward trend can only be assumed if there is a sustained break of the upper trend channel limit.

Below €276, further losses to around €255 could be on the cards.

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