Boohoo Share Price Forecast: Stock Remains in Trouble

The Boohoo share price is seeing a slight uptick this Wednesday after the stock rose 0.41%. This follows Tuesday’s 8.21% loss that trailed the outcry over the appointment of celebrity Kourtney Kardashian as the sustainability ambassador of the brand. 

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FTSE100

FTSE100 (6870.8)

Not in Sell Zone

STOP

SELL

TP1

6840

TP2

6750

The major news dominating headlines this Wednesday on the Boohoo share price is Kourtney Kardashian’s appointment as the brand’s sustainability envoy. This partnership will see the launch of several collection capsules that show a push toward sustainable fashion production. The first of these capsules, Kourtney X Boohoo, is now available at Boohoo’s online store. 

As expected, the move drew much criticism, with critics questioning the “sustainability” thrust of the collaboration and the new collection. Kardashian has come out to defend the collaboration, saying she is happy with the noise the collection generates in the marketplace.

It remains to be seen how this collaboration will help Boohoo as it moves towards more sustainable production methods. The Boohoo share price continues to trade in a downtrend as its 2022 share price activity continues to play out with more selling on the stock. The Boohoo share price is trading at 11% of its February 2021 high and presently finds itself in a consolidation pattern that is currently evolving. Here’s the Boohoo share price outlook.

Boohoo Share Price Forecast

The Boohoo share price action is trading within a consolidation zone that constitutes an evolving bearish flag. A bearish resolution of this pattern must follow a breakdown of the 39.12 support (1 September 2022 low), targeting ultimate completion at 23.01 (27 February 2015/26 May 2015 lows). This move has to take out sequential support levels at 32.83 (12 October 2015 low) and 27.28 (29 April 2015/24 August 1015 lows) to attain completion.

On the other hand, the bearish outlook is negated if the 45.18 resistance and the 48.00 psychological price mark (26 August and 2 September highs) are broken. This scenario sees 52.30 become the new target to the north (30 June and 19 August 2022 highs). Additional targets to the north come in at 59.32 (3 August low) and 63.43 (14 June and 22 July lows). 70.10 forms an additional upside target, formed by the 5 May low and 22 July 2022 high. 

Boohoo: Daily Chart