Analysis of Constellation Brands on the weekly timeframe as the firm is expected to report earnings of $3.36 on revenue of $2.82bn tomorrow.

Taking a look at Constellation Brands’ stock price as the company is scheduled to report its quarterly earnings tomorrow. The firm is expected to report earnings of $3.36 on revenue of $2.82bn. Currently, its stock is trading at around $248.40 a share and we can see its price has now broken below the 20-day moving average on the weekly interval. The short-term bias has now turned negative with the next key support level based along the 50 & 100-day moving averages, which reads $238.97 (100MA) and $240.39 (50MA). A break below it could suggest that further downside is possible. However, if we see consolidation along the moving averages then it would open the door for a move back up. With the resistance then sitting at $246.41 followed by £250.21. A break above $250.21 could indicate that a potential extension and an attempt to move back up above the 20-day MA is feasible. However, we can see that the technical indicators confirm the negative bias for the time being as the MACD is negative with an enlarging volume and the RSI is faltering as it reads 48.