Tesco share price fell this Thursday as the company battles scandal after scandal in a dramatically bad week for the UK retailer.
First, it was reported by a local news source that Peter Burrows, a builder living in Newport, Wales, found a poisonous weed in a Tesco coriander packet. He was said to have received a refund of £1 when he filed a complaint to the company.
But more damaging was yet another investigative report by the Bureau of Investigative Journalism and Greenpeace Unearthed, which alleges that soya grown in heavily deforested areas of Brazil is being used to fatten chicken sold in stores of Tesco, Nando, MacDonald’s Asda and Lidl. Tesco share price is still reeling from allegations of selling merchandise produced using forced labour in Asia, as well as series of product recalls over the weekend.
Tesco fell 0.48% on the day and is down 2.15% on the week.
Technical Outlook for Tesco
The 228.0 support level is now being challenged. A breakdown also has to take out the 200-day moving average, to bring 224.0 and possibly 220.2 into focus.
On the flip side, a bounce from present levels could make a charge towards 231.4 and possibly 234.3. Tesco would rely on a bumper shopping season, kicking off with Black Friday sales tomorrow, to be able to bounce back from recent slides.
Tesco Share Price; Daily Chart