Tesco share price continues its price advance for the 5th day in a row as the supermarket chain continues to reap the rewards presented by the lockdowns in the UK, which has reinforced the online shopping behaviour that UK consumers adopted at the onset of the first wave of the coronavirus pandemic in March/April 2020.
Tesco is part of several supermarket chains that are reinforcing their market positioning ahead of the UK Christmas shopping season, with the opening of new Christmas delivery slots this week. Delivery slots will open on November 20, starting from 7 am. The Festive Food to Order package is also available, but Tesco has asked its customers who want to take advantage of it to ensure they check out all items by December 14 to get their deliveries before Christmas. The delivery slots are trendy, and data show that the slots are running out quickly.
However, even as investors appear to be snapping up the stock in anticipation of bumper sales this holiday season, there is caution in today’s trading after a BBC investigation alleged that goods made in Indian factories by “exploited” workers were ending up on the shelves of Tesco, Sainsbury’s and M&S. All companies mentioned in the report
have said they would investigate.
Technical Levels to Watch
Tesco share price is close to extending its winning run to five trading sessions. However, it has met the same resistance it did yesterday, and that was at the 228.0 price level. This is also the highest the stock has attained since September 23. A break above this level allows Tesco share price to aim for the 231.4 resistance, with 234.3 and 239.7 forming additional upside targets.
On the flip side, a rejection from the present resistance after several breakout failures could allow for some profit-taking that sends Tesco back towards the 224.0 support, with 220.2 and 214.0 forming additional downside targets.
Tesco Share Price Chart (daily)