Viridien's Stock Plummets Again, Breaking Support with RSI Down to 24
The geoscience specialist continues its slide mid-morning, losing more ground. The stock is once again paying for its heavy exposure to the oil cycle, as the pressure from short sellers intensifies on the value.
The stock breaks its support at €89.40 and sinks below all its moving averages
Viridien's stock is down 2.91% at €86.90 during the session, after breaking through its morning support at €89.40. This breach extends a downturn that began in early June: the stock has lost nearly 25% over the month and more than 32% over the quarter, bringing its annual performance to approximately -38%. The price is now significantly below its three moving averages, with a gap of 17.5% below the MM20 (€105.34) and nearly 27% below the MM50 (€119.00).
The RSI at 24 indicates seller exhaustion after several sessions of decline, yet it did not prevent the break of this morning's technical level. The next reference zone is located at the recent lows, already tested in mid-June during the downturn mentioned in the session of June 19.
Brent's decline and the rise of bearish bets weigh on the oilfield services company
Viridien remains directly exposed to the oil cycle, as Brent falls 1.17% to $76.99/barrel and has dropped 8.7% since June 14. The easing of crude prices follows the interim agreement on the Strait of Hormuz, whose implementation remains under surveillance after CENTCOM denied Iranian statements. According to reviewed statements, six funds now cumulatively hold 4.45% of the capital sold short, a high level up 1.54 points over thirty days (from 2.91% a month ago).
This marked increase reflects a rise in bearish pressure from institutional investors positioned against the stock, although the specific motivations behind this cannot be isolated. The stock is at the bottom of the SBF 120, while the index is stable, and the next agenda item includes lower technical levels after today's support break.
