Boohoo share price forecast is not looking very bullish as the supply overpowers the demand in a critical zone. The shares of the UK online retailer are literally hanging by a thread and the 28p level could be the final line in the sand for many investors.
Boohoo shares are trading 17% below their 200-daily moving average which shows that the bears currently have the upper hand. However, the tides can shift in case of a strong bounce from the 33p level which is marked on the following chart.
The recent underperformance by the FTSE 100 index compared to its Western counterparts has led to a mixed market sentiment in the UK shares. As a result, most shares are struggling to make higher highs despite a significant decrease in the UK inflation.
You can see how the demand below 35p is being absorbed by the seller. This demand zone has acted as a major support but has become weak after too many retests. Therefore, if Boohoo share price breaks below this zone the forecast will turn extremely bearish.
