Looking at the technical picture of The Priceline Group stock (NASDAQ: BKNG), which owns the Booking.com service, we can see that after peaking at the end of April, the share price is now drifting lower, while trading below a short-term tentative downside resistance line taken from the high of April 29th. The stock is now very close to the lowest point of July, at 2053. Although the short-term trend seems to be to the downside, in order to target lower areas, a break of the lowest point of July would be needed.
If BKNG eventually drops below the 2053 hurdle, this will confirm a forthcoming lower low, possibly scaring off some buyers from the field. The share price could slide to the 2016 obstacle, or even to the 1942 zone, marked by the low of January 29th, where a temporary hold-up may occur. However, if there are still no new buyers around that price, BKNG might continue sliding, potentially targeting the 1866 level. That level is marked by the lowest point of January.
The RSI and the MACD are both pointing lower. In addition to that, the RSI is sitting below 50 and the MACD is running below zero and its trigger line. The two oscillators indicate increasing downside price momentum, which supports the idea discussed above.
Alternatively, if the share price breaks above the aforementioned downside line and then rises above the 2266 barrier, marked by the highest point of July, that would confirm a forthcoming higher high, potentially clearing the way towards higher areas. BKNG could get lifted to the 2299 obstacle, or even to the 2374 zone, marked by the highest point of June. If the buying doesn’t stop there, the next possible target may be at 2436, which is the low of April 30th.
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