Approaching this key trendline resistance once again

Coca-Cola is reporting its quarterly earnings tomorrow. The beverage and retail sector has not been as strong this earnings season compared to other sectors, partly due to geopolitical tensions as well as a fall in consumer spending, Currently, its stock is trading at around $61.76 a share. Based on the weekly chart, we can see the rally from the current bottom in October has been upheld with a new support level formed at $57.93. Nonetheless, if the earnings are disappointing then this may well be a catalyst for a move to test those support levels below. Particularly as KO’s price has now approached the tough trendline resistance which dates back to April 2022. A break above this trendline may ignite some further optimism and perhaps end the two-year decline trend. The resistance along the trendline reads $63. A fall below $57.93 would shift the attention to $56.24. The technical indicators are much more positive than the chart itself, with the MACD rising and the RSI reading 58. Though the RSI has now flattened somewhat, most likely adjusting ahead of the earnings.