Ocado Set to End the Week Higher As Panicked Shoppers Throng Its Web Store
Ocado looks set to end the week higher as online shopping demand goes through the roof due to the national lockdown.
Panicked UK shoppers have thronged to online shopping sites and are subjecting sites of popular retailers such as Ocado and Tesco under heavy strain. Delivery slots are said to be booked up for as long as a week in advance.
A new report says that Britons spent £11.7bn in supermarkets in December, making it the 2nd busiest month of shopping ever. Online food and clothing sales on sites such as Ocado grew nearly 48%.
Ocado is up 2.41% and looks set to end the week higher. Ocado was one of the companies that profited in 2020 from the enforced change in consumer shopping habits in the UK, as the coronavirus pandemic forced shoppers off the malls and onto the shopping safety of their laptops and smartphones.
Technical Levels to Watch
Ocado recently broke out of the rectangle pattern, which had formed its trading range in November and December 2020. Following this breakout move, the active daily candle has found resistance at 2440, just like the candle of Tuesday, January 5. 2513 and 2582 are the next upside targets in line for bulls.
On the other hand, if sellers cause rejection and pullback from the present resistance level, then 2360 will become a new target, with 2247 and 2200 serving as additional targets to the south.