For the past three trading sessions, Haleon’s share price has been aggressively bullish, which has seen its prices surge by 5 per cent. In today’s trading session, the strong bullish trend looks to continue, with prices already up by a percentage point.
Despite the surge in price in the past few trading sessions, the company’s overall performance in the markets has been disappointing. This is because the company was launched trading at 330p. At the time of its launch, the company was valued at £30.5 billion ($36.4 billion), making it the largest listing in the stock market in Europe in over a decade. For many investors, such a huge was expected to peak immediately and start going up.
However, upon its launch, the share prices started to aggressively move to the downside. At one point, the share price was down by 25 per cent from its launch price, and just recently, the prices started to rise.
Haleon Share Price Analysis
The drop following its launch resulted in investors growing anxious and doubting a recovery. This month, the company had to come out and assure investors that the prices would stabilize. They also requested patience during the tough period when the share price went down. The decision of not selling the company to Unilever, valued at £50 billion and willing to pay the full amount, has also come under scrutiny.
However, despite this criticism, the past week has shown us why Haleon’s share price has potential for recovery. With prices going up by 5 per cent in the past three days and the bullish streak looking to continue today, there is a high likelihood that we may see prices trading above the 300p price level in the next few trading sessions. It is also possible that the share price will be trading by next month near its market launch.
However, should the prices trade below 250p, my analysis will be invalidated. It will mean the prices will continue with the downward trend.
Haleon Daily Chart
