The technical picture of the Carnival Corp. stock (NYSE: CCL) on our daily chart shows that from around mid-November, the share price had been coiling up, while oscillating around its EMAs. However, such activity lasted only until Wednesday this week, when the stock opened above the short-term downside resistance line drawn from the high of November 5th. CCL was also seen popping a few times above the highest point of January, at 23.30, but struggled to close above it for two consecutive days. In order to aim for higher areas, we would prefer to wait for a daily close above that 23.30 barrier first.
If, eventually, the stock makes a move through the 23.30 hurdle and manages to close above it, more buyers could join in and drive the share price further up. That’s when we will aim for the highest point of November, at 25.29, a break of which could set the stage for a move to the 27.39 level. That level marks the highest point of September 2021.
The RSI and the MACD are both pointing higher. The RSI is also above 50 and the MACD continues to run above zero and the signal line. The two indicators support the idea of seeing further advances, as both show positive price momentum.
Alternatively, a drop back below the aforementioned downside line may lead to a fall below the 200-day EMA, which could be seen as a negative indication. CCL might then drift to the 21.24 obstacle, a break of which may clear the way towards the 19.57 area, marked by the current lowest point of February. Slightly below it runs a short-term tentative upside support line taken from the low of December 1st, which could provide additional support.
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