Red rectangle- major support (broken)
Red lines- bearish channel
INTC stock price is trading around $32-$33. At the beginning of June we warned traders that the weekly support at $42.50 was breaking down and that would imply more selling to come. That was an important bearish signal as this support level had been respected for more than 4 years. Price has formed a bearish channel where it continues making lower lows and lower highs. The RSI has still not reached oversold levels. Price is approaching the lower channel boundary where it can find support. Price has lost more than 20% since our warning and so far there is no sign of a reversal or bottom.
