AMC Plunges Following Share Offering Agreement, Why Bulls Need Stock To Hold This Level
Portfolio Pulse from Melanie Schaffer
AMC Entertainment Holdings, Inc (NYSE:AMC) stock plunged over 20% following an agreement to sell up to 40 million shares through an equity distribution agreement with several Wall Street investment banks. This follows two weeks of downward pressure after AMC implemented a 10-1 reverse stock split and converted its preferred equity shares into common stock. The stock could be forming a bearish flag pattern or a bullish double-bottom pattern near the $10.73 mark.
September 06, 2023 | 4:01 pm
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AMC's stock plunged over 20% following an agreement to sell up to 40 million shares. The stock could be forming a bearish flag pattern or a bullish double-bottom pattern.
The news of AMC's agreement to sell up to 40 million shares has caused a significant drop in the stock price. This, combined with the recent 10-1 reverse stock split and conversion of preferred equity shares into common stock, has put downward pressure on the stock. The stock could be forming a bearish flag pattern, which suggests a continuation of the downtrend. However, there's also a possibility of a bullish double-bottom pattern forming, which could indicate a potential reversal to the upside.
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