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Carnival Share Price Down Nearly 10% in Premarket Trading On New COVID Variant

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Written By: Eno Ikenna Eteng
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    Summary:
  • The Carnival share price takes a hard one on the chin as the emergence of a new COVID variant threatens the recovery of the travel industry.

The Carnival share price is trading lower in premarket trading on Friday after concerns about the impact of the new coronavirus variant on travel and the recovery of companies in this sector emerged. 

Shares of cruise liners and airlines are all facing downside pressure this Friday. Reported instances of this new variant in Belgium, aside from the origins in South Africa, have triggered fears of global spread, hence investors’ dumping of travel stocks.

The Carnival share price is presently down 9.77% in premarket trading. 

Carnival Share Price Outlook

Price action looks set to continue the downtrend, with 19.61 and 19.00 already in danger of being taken out if the premarket price of 18.25 holds. In this event, a push towards the 25 August 2020 high/30 November 2020 low at 17.30 will be the next support pivot in line. 

Conversely, a recovery towards 19.61 and 20.52 is possible if the price can pivot off the 18.00 support. 21.41 may also be a potential rally point, but these barriers may just be rally-selling opportunity points if the sentiment on the stock remains bearish.

Carnival Corp: Daily Chart

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This post was last modified on %s = human-readable time difference 14:25

Written By: Eno Ikenna Eteng

Eno's work as a technical analyst and author since 2009 is well recognized in the industry and on several freelance platforms. He is also a member of the prestigious UK Society of Technical Analysts and a top-ranked participant in the Basic Investment Banking and Asset Management simulations with Amplify Trading.

Published by
Written By: Eno Ikenna Eteng