Adobe sharpens decline - Analysis - 21-06-2022

Adobe's stock declined in the intraday levels, after hitting a session-low at 338.00, a May 2020 low, bouncing off it higher and paring the losses to 1.18%, or 4.29 points, and settling at 360.79, with trading volumes surpassing 9.4 million shares, above 10-day averages of 3.8 million shares after reporting strong financial results for the second quarter, amid increased demand and momentum in new client classes, however the company downgraded its financial forecasts for the financial year. 

The main downward trend dominates in the short term, with negative pressure from the 50-day SMA, countered by positive signals from the RSI after reaching oversold levels, as the stock tries to vent off oversold saturation. 

Therefore we expect more losses for the stock, targeting the support of 326.35, provided it settles below the resistance of 377.80. 

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Expected trend for today: Bearish