Becton, Dickinson and Co.: Will BDX Stock Bounce Back to $267?

• BDX stock is trading below the 20, 50, 100, and 200-day EMAs.
• BDX stock closed at $258.70, with a gain of 0.63% in the past intraday session.
• The year-to-date return of BDX stock is -1.51% and the three-month return is -0.58%.

Becton, Dickinson and Company  (NYSE: BDX) stock closed at $258.70 while witnessing a gain of 0.63% in the previous intraday session. Moreover, the stock price was down by 1.77% over the past month, which increased the bearish sentiments in the market. The current market capitalization of the company is $75.05 Billion with an average trading volume of 955.12K. 

On a higher timeframe, the price of BDX stock reached its annual high at $287.32 while forming a triple top pattern. Unfortunately, this bearish reversal pattern was halted at the $283 resistance level. From August 30, 2023, the price began a consistent downtrend, falling from the $283 peak. The rejection at this level increased bearish sentiment, leading the BDX stock price to drop near the $261 support level.

However, the price gained bullish momentum after hitting the $255 support level, as there were hopes of recovering from previous losses. This upward move was halted at the $269.52 resistance level, forming a strong barrier. Consequently, the price retreated once more to the $255.10 support level.

The BDX stock price is currently hovering below the 20, 50, and 100-day EMAs, indicating prolonged bearish dominance in the market. In August 2023, BDX stock displayed a triple top pattern consisting of three tops at the $283 resistance level, after a sudden spike of roughly 13%. 

Becton Dickinson and Company is scheduled to announce its 4th quarter report on November 23, 2023. For the Q4 financial report, Becton Dickinson expects a revenue of $5.02 Billion. The Zacks Consensus Estimates for the 4th quarter EPS (earnings per share) is projected at $3.43, which reflects growth of 24.6% compared to the reported figures from the same quarter in the previous year. 

Will BDX Stock Retest the $267 Mark?

The BDX stock price shattered about 1.77% over the past month, and the year-to-date return shows the same negative sentiment of 1.51%. However, the price action gained significant bullish momentum in August, but bulls failed to sustain this. Currently, the price is hovering near $258, with a slight bearish outlook.

The RSI stands at 41.45, indicating slight weakness in the market. However, if the prolonged bearish trend remains constant, it might melt toward the major support level of $250. On the contrary, if the bulls take control and bounce back, the price might surge and retest the previous resistance level of $267. 

The chaikin money flow score is lingering near the 0.00 mark, with a score of 0.01. This indicates neither weakness nor strength in the market, and the price might face consolidation in the upcoming sessions. 

Conclusion 

Becton Dickinson’s market structure and recent price action suggest a bearish outlook. The stock faced a downtrend after encountering strong resistance at $283, and technical indicators currently favor the sellers. However, traders should remain cautious about the $255 level.

Technical Levels 

Major resistance: $248.84 and $287.32

Major support: $228.62 and $237.62

Disclaimer

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