Tesco share price is up this Wednesday (singles day in China’s shopping season), as Tesco Mobile aims to attract shoppers to its platform by offering some of the lowest prices of all time on premium phone brands.
Tesco is giving away lots of deals as the holiday shopping season kicks off in earnest, with the supermarket chain offering clients anything from free meals to phone offers and discounted shopping deals. One of the latest deals is the Tesco meal deal, which offers Twitter users a free meal if a retweet of the company’s offer got no likes or retweets.
Tesco’s investors are betting the company can replicate or even surpass the sales records recorded at the height of the first wave of the coronavirus pandemic, where UK shoppers were forced to turn to online platforms as they were forced indoors by the UK government.
Tesco is still riding on the back of the reported increase on UK grocery sales by 9.4% in October on an annualized basis, as the lockdowns and coronavirus-related restrictions kicked in. Despite this increase in sales, market research group Kantar says there is no evidence of bulk-buying.
Tesco and other major supermarket chains are preparing for the holiday shopping season in earnest, by offering deals to lure consumers to their platforms. Tesco share price is up 1.92% at the time of writing.
Technical Outlook for Tesco Share Price
After Monday’s failed violation of the channel’s upper border, today’s candle is making another attempt at breaching the channel’s upper boundary. A successful break of this channel could immediately challenge the 224.0 resistance, where a break could then target 228.0 in the first instance. Further upside could press on towards 231.4 and possibly 234.3. We still watch to see if Tesco could hit the 16 June highs of 244.8; perhaps holiday sales data may do the trick if records are broken.
On the flip side, a failed attempt at breaking 224.0 (where the channel’s upper border is domiciled) allows 220.2 to come back into focus, with the possibility of 214.0 and 211.3 also being targeted if sellers regain momentum.
Tesco Share Price Chart (daily)