Tesco share price is down today after thousands of customers were double-charged, in what appears to have been a technical glitch.
The discovery of the double-charge came as thousands of Tesco customers complained of delayed payments at the company’s stores in the UK. Card machines are said to be displaying error messages, prompting second payments that eventually turned out to be a double charge.
The glitch is said to have affected a range of retail outlets, including Express stores, gas stations, and superstores. The double-spend error has been an ongoing concern for nearly two weeks in what appears to be a widespread issue.
Banks have begun sending notices to Tesco customers to check their accounts to see if they have been impacted. Tesco is said to be conducting refunds, but problems have arisen with customers who previously had empty accounts and have now been charged into overdraft, incurring fees in the process.
A bank source is saying that Tesco should “be willing to put things right”, meaning that Tesco may now be responsible for repayment of bank fees incurred in this manner.
This development did not bode well for the Tesco share price, which took a hammering as a result. The Tesco share price is down heavily, losing 1.16% on the day as of the time of writing.
Technical Levels to Watch
The downside move of Wednesday is now challenging the channel’s trend line on the daily chart and has also put the 239.70 support line at risk. A breakdown of these two support parameters opens the door for sellers to drive towards 236.00, with 234.25 and 231.45 also lining up as additional downside targets.
On the other hand, a bounce at the present support levels allows Tesco share price a chance at returning to the channel’s return line. This move would have to take out 244.80, 247.45 (28 January and 10 February 2021 highs), and 250.38 along the way for this to happen.
Tesco Share Price; Daily Chart