BT (LON: BT.A) share price has once again precisely met my price target. In my last analysis, I predicted a retest of the 135p level, which occurred just a few days later. When I made that prediction, I knew that the bears were crawling back, but still, I didn’t expect such a sudden move.
BT shares are down 1.03% on Monday. The stock tanked 7.21% last week. After a slight bounce on Friday, these shares are once again experiencing a sell-off. While the indicators are pointing toward a short bounce, a breakdown will be catastrophic for the British telecom giant.
Red Burn Downgrades BT Group PLC
According to the latest BT Group plc news, Redburn has downgraded its outlook on the BT share price. The institutional research firm has changed the outlook from ‘buy’ to ‘neutral’. Redburn is majority owned by Rothschild & Co. and specializes in equity research and quantitative analysis for its institutional clients.
As per other news, in the latest financial report, the group CEO has volunteered to waive any salary increases beyond 2024. This sets the group CEO Philip Jansen’s salary at the current rate of 1.1 million on a rolling basis till his retirement.
BT Share Price May Drop Another 12%
After multiple attempts, LON: BT.A failed to break out above the 148p resistance level. Consequently, the shares are now retesting their 135p support level which I predicted last week. The following chart also reveals that in case of a breakdown below 135p, the next stop could be the 118p support level.
BT share price forecast can only avoid a bearish outlook if it breaks above 148p. Acceptance below the 135p level may also put a retest of the December 2022 lows, which lies around 111p. The broader market sentiment and the rate hikes may impact the stock price action in the coming months.
In the meantime, I’ll keep sharing updated BT stock price forecasts and my personal trades on my Twitter where you are welcome to follow me.
