ARMONK, NY – Shares of International Business Machines (NYSE: IBM) ended the trading week on a decidedly negative note, succumbing to a wave of heavy selling in the latter half of the session. This weak finish suggests investor confidence has waned, creating a cautious outlook for the stock as a new trading week begins.
IBM closed the day at
2.23 (0.76%). The stock, which had been trading in a relatively stable range for most of the morning, experienced a sharp breakdown around 2:00 PM. Sellers pushed the price from the $292 level down to a daily low of $288.52 before a minor bounce into the close.
Despite this slight recovery from the absolute lows, the overall technical picture is bearish. The stock closed significantly below its opening price of $292.97 and the previous day’s close of $291.93. The inability to mount a more substantial rebound into the closing bell indicates that sellers remained in firm control of the price action. The flat after-hours trading further underscores a lack of immediate buying interest.
Looking ahead to Monday’s session, the momentum is clearly pointed to the downside. The primary challenge for IBM will be to defend the support established at its daily low of $288.52. A break below this level could attract further selling pressure and lead to additional losses. Given the strong downward move on Thursday, the prevailing sentiment suggests the market for IBM is likely to move down at the start of next week.
