The Philip Morris International Inc stock (NYSE: PM) continues to run higher, while balancing above a short-term tentative upside support line drawn from the low of November 6th. This week, the share price also moved above a short-term downside resistance line taken from the high of September 14th, which could support the bullish case. However, the stock is currently in correction mode moving slowly to downside. That said, if the area near the crossroads of the two above-discussed lines acts as a good support hurdle, that may invite the buyers back into the game. For now, we will take a somewhat positive approach in regards to the near-term outlook.
If the slide gets halted near the above-mentioned lines, the stock might rebound, as new buyers might enter the arena. That said, more of them may join in if PM climbs above the current highest point of this week, at 79.19. Such a move would confirm a forthcoming higher high and the share price could rise to the 79.89 obstacle, or to the 81.37 hurdle, marked by the inside swing low of September 15th. That said, if the buyers are still interested in the stock even at that price, this may result in a push to the 82.59 level, marked by the highest point of September.
The RSI and the MACD on our 4-hour chart are currently pointing slightly to the downside. However, the RSI remains above 50 and the MACD, although is near the trigger line, still continues to run above zero. Despite showing declining price momentum, the indicators remain in the positive territory, what in some way supports the above discussed scenario.
Alternatively, if the share price drops below all the aforementioned trendlines and slides below the 76.02 hurdle, marked by the high of November 13th, this could spook new buyers from entering. PM might end up sliding to the 73.17 zone, or even to the 71.57 level, marked by the low of November 9th.
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