People’s United Financial, Inc. is a financial service company listed in the S&P 500 that is mainly active through the subsidiary company People’s United Bank. The company, founded in 1842 and with headquarters in Bridgeport, Connecticut, operates over 400 branches in the USA and is considered one of the biggest regional banks. In the following analysis, we will expand on the company stock from a technical perspective.
In the daily chart, a significant downward trend formed in the first half of the year. The SMA 200, observed by big market participants, was also broken through downwards and tested from below with a slightly stronger correction. The rising volume in the downward movement that is currently restarting also speaks for the short idea.
In the subordinate picture, the first signal has already formed in the form of a P2. In order to find a lucrative entry, one should wait for a correction into the area 17.40 – 17.60 USD, with a stop loss above the last high at 17.90 USD. Alternatively, one can also use a second P2 for an entry, with a stop loss at the the high that will have formed by then.
The following areas serve as target marks (green zones):
If the area around 18.10 USD (red line) is clearly and sustainably exceeded, then one should abandon the short scenario.
Before trading, one should pay attention to news in the environment and from the company. Similarly, one should also observe the overall market.
Neither the author nor our company is invested in the securities and underlyings discussed at the time of publishing this analysis.
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