Nike (NKE) shares tumbled Thursday amid concerns that the Trump administration’s recently announced recipওrocal tariffs could weigh on theℱ company's profits.

Under Washington’s new levies, Nike’s key manufacturing partners in Vietnam, Indonesia, Cambodia, and China will be 澳洲幸运5开奖号码历史查询:subject to lofty import duties ranging from 32% to 49%, prompting worries that 澳洲幸运5开奖号码历史查询:rising 🍬production costs and consumer prices could shrink margins and slow demand.

Morgan Stanley recently said that investors are under-appreciating the potential impact of tariffs on Vietnam, a country where the sport𒈔s gear giant manufactured about half of its footwear in fiscal 2024.

Nike was the biggest decliner in the Dow Jones Industrial Average on Thursday, falling 14% to $55.58, closing at its lowest levelꦆ since December 2017. Shares have lost 27% of their value since the start of the year, with both tariff uncertainty and a weak sales outlook pressuring the stock.

Below, we zoom out on Nike’s 澳洲幸运5开奖号码历史查询:monthly chart to identify crucial historical p♔rice level tha🍒t investors may be watching.

♊ Head and Shoulders Breakdown Accelerates Selling

Since breaking down below the neckline of a 澳洲幸运5开奖号码历史查询:head and shoulders patt♚ern last June, Nike shares have continued to trend sharply lower.

More recently, selling has accelerated on above-average 澳洲幸运5开奖号码历史查询:trading volume, with the price fallin𓆏g decisively below the 200-month moving average to kick off April following Trump’s tariffs announcement.

While the 澳洲幸运5开奖号码历史查询:relative strength index (RSI) confirms bearish price momentum with a reading below 50, the indicator continues tracking toward oversold territory, potentially increasing the chances of a near-term🌃 bounce.

Let’s identify crucial 澳洲幸运5开奖号码历史查询:support and resistance levels on Nike’s chart by applying 澳洲幸运5开奖号码历史查询:technical analysis.

Crucial Support Levels to Watch

Continued selling could see the shares tumble to the 澳洲幸运5开奖号码历史查询:psychological $50 level. This area may provide support near the November 2014 peak and lower range of a 12-month 澳洲幸运5开奖号码历史查询:consolidation period that formed on the chart between Octobeᩚᩚᩚᩚᩚᩚ⁤⁤⁤⁤ᩚ⁤⁤⁤⁤ᩚ⁤⁤⁤⁤ᩚ𒀱ᩚᩚᩚr 2016 and October 2017.

A drop below this level opens the door for a move to lower support around $40. Investors may look to 澳洲幸运5开奖号码历史查询:accumulate shares in this region near a brief 澳洲幸运5开奖号码历史查询:sideways trend on the chart that 𒉰followed the stock's impulsive move higher throughout 2013.&n𓄧bsp;

This location also roughly aligns with a projected measured move downside target that calculates the percentage decline from the top of the head and shoulders formation to the pattern’s neckline and deducts that change from the 澳洲幸运5开奖号码历史查询:breakdown point.

Key Resistance Levels Worth Monitoring

During upswings in the stock, investors should initially monitor the $68 level. This area would likely provide overhead selling pressure near a 澳洲幸运5开奖号码历史查询:horizontal line that connects multiple 澳洲幸运5开奖号码历史查询:peaks and troughs on🙈💃 the chart from December 2015 to February this year.

Finally, the bulls’ ability to reclaim this key technical level could see Nike shares move up to around $86. Investors who have bought at lower prices may seek 澳洲幸运5开奖号码历史查询:exit points in this location on a ret🔴est of the head and shoulders’ neckline.🌃

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