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Coupang, Inc. (CPNG) Technical Analysis

December 20, 2025

Price Action Analysis

Overview:

  • Current context: The price of CPNG is trading in a clear downtrend from the broader swing highs observed in the fall. The latest price is around the low-to-mid $20s, after a prolonged period of weakness that kept the price below key moving averages.
  • Trend direction (short to intermediate term): Bearish. The price remains below the 50-day moving average (MA) and the 200-day MA, indicating ongoing selling pressure and lack of sustained demand rallies.
  • Chart patterns / structure:
    • A sequence of lower highs and lower lows suggests a downward channel; occasional relief rallies have failed to establish a meaningful upturn.
    • Recent action shows consolidation around a tight band near $22.5–$23.5, with a slight bounce attempt from the near-term support.
    • Candlestick structures in the recent action show small bodies with wicks on both sides in some sessions, often around the support area, consistent with near-term balance between supply and demand but no decisive reversal pattern yet.
  • Support & resistance context:
    • Immediate support sits near the $22.50 level, with intraday prints touching roughly $22.80–$23.00 recently.
    • Nearby resistance clusters sit in the $25.50–$26.00 area as the first meaningful hurdle, followed by the ~$28.60 level which aligns with the short- to intermediate-term moving average (50-day MA) and acts as a stronger resistance ridge.
  • Volume behavior (price action context): Volume spikes have occurred on down days during the longer drawdown, which is typical of distribution in a downtrend. Occasional upticks in volume accompany minor rallies but fail to sustain a breakout, reinforcing the bearish backdrop.

Notes on the attached visuals:

  • The price action shows ongoing weakness against a backdrop of lighter-than-necessary upside volume, with resistance building as price attempts to rebound from the support zone.

Technical Indicators

Summary readings (as of the latest data):

  • Current price: $23.20
  • 50-day MA: $28.60
  • 200-day MA: $27.80
  • RSI (14): 21.9 (oversold territory)
  • MACD (12,26,9): MACD -1.50 | Signal -1.20 | Histogram -0.30 (bearish momentum, no bullish cross)

Technical indicators table:

Key Technical Readings

IndicatorValueInterpretation
Current price$23.20Near-term weakness, well below MA layers
50-day MA$28.60Resistance overhead; price well below
200-day MA$27.80Longer-term resistance; bearish alignment
RSI (14)21.9Oversold; potential for a relief rally if demand returns
MACD-1.50Negative momentum, bearish stance
MACD Signal-1.20MACD below signal; no bullish cross yet
MACD Histogram-0.30Ongoing downside pressure, slight acceleration of bear momentum

Momentum & pattern notes:

  • The persistent negative MACD and a sub-30 RSI support a cautious stance on buying, though the oversold RSI leaves a non-trivial chance of a near-term bounce if buyers step in at support.
  • The price staying below both moving averages reinforces the downside bias unless a decisive close above ~$26–$28 with volume confirms a reversal.

Volume & Momentum Analysis

  • Volume pattern: Occasional volume surges on down days point to distribution and renewed selling pressure rather than accumulation. When rallies occur, volume tends to be lighter or insufficient to sustain a move, suggesting a lack of broad-based demand.
  • Momentum interpretation: The negative MACD, combined with a very low RSI, indicates lingering bearish momentum with limited immediate upside strength. A bullish reversal would require:
    • A sustained breakout above the near-term resistance zone (~$25.50–$26.00) with convincing volume, or
    • A bullish MACD cross (MACD crossing above its signal) accompanied by a rising RSI from oversold levels.

Trendlines already drawn (for reference in planning levels):

  • Support line at around $22.50
  • Resistance line at around $26.00
  • Resistance proxy at the 50-day MA around $28.60

These reference points help identify potential reaction zones and confirm the structural bias of the chart.

Key Buy/Sell Levels

Current price: $23.20. Potential levels are structured as follows (with touch status and distance if not touched):

  • Buy Level 1: Support at $22.50 area

    • Has this level been touched? Yes (intraday prints as low as ~$22.80).
    • Distance from current price: 0.70 to 1.30 dollars (roughly 3.0% to 5.6% below current price).
    • Rationale: Immediate support zone; potential for a short-term bounce if price holds and volume shows demand.

  • Buy Level 2: Lower support around $21.50–$22.00

    • Has this level been touched? Not in the latest prints (closest is ~$22.80).
    • Distance from current price: $23.20 − $22.00 = $1.20; ~5.2% below current price.
    • Rationale: If price breaks below the primary support with confirmation, a deeper pullback area could offer a risk-managed entry if volume confirms demand at lower levels.

  • Resistance / Sell levels (for context, not calls to short):

    • First resistance: $25.50–$26.00 (near prior swing highs)
    • Major resistance: $28.60 (50-day MA proxy)
    • Rationale: Re-engagement above these levels would be a necessary condition for a sustainable turnaround.

Trendlines drawn (for chart annotation):

  • Horizontal support around $22.50
  • Horizontal resistance around $26.00
  • Horizontal reference near the 50-day MA at ~$28.60

How these levels connect to chart context:

  • The immediate support ($22.50) aligns with recent intraday lows and the lower boundary of the current consolidation, making it a natural first watch for a bounced entry.
  • The $26.00 area represents a test of the initial resistance band formed by prior highs and the upper end of the current consolidation range; a break above this zone with volume would suggest short-term momentum acceleration.
  • The $28.60 level, aligned with the 50-day MA, represents a stronger longer-dated resistance that would be a prerequisite for a sustainable trend reversal, not a mere counter-trend bounce.

Notes on positioning:

  • If price remains below $26.00 and fails to show constructive volume on rallies, the risk remains skewed to the downside.
  • A confirmed reversal would require price action with bullish candlestick confirmation near support, followed by a break above $26.00 with rising volume and potentially above $28.60 to confirm MA-led strength.

Technical Outlook & Summary

  • Price action presents a clear downtrend with a current short-term consolidation near the $22.5–$23.5 zone. The long-term picture remains bearish as the price sits well below both the 50-day and 200-day moving averages.
  • The oversold RSI suggests a potential short-term relief rally could occur if buyers step in at support, but the lack of sustained volume on rallies and negative MACD momentum argue for caution.
  • Key near-term levels to watch:
    • Support: $22.50 (primary) and $21.50–$22.00 (secondary)
    • Resistance: $25.50–$26.00 (first hurdle) and $28.60 (50-day MA)
  • The trendline framework indicates a potential bottoming area near support, but a true reversal would require a convincing close above $26.00 with meaningful volume and ideally a move above $28.60 to target a broader trend shift.
  • If price continues to pressure the $22.50 support and breaks lower with volume, the risk remains skewed to the downside, with the next meaningful area of interest around $21.50–$22.00.

Overall stance:

  • The current setup favors a cautious, wait-and-see approach for a sustained reversal. Short-term entries could be considered only on clearly confirming signals (e.g., bullish candlestick patterns near support with sustained higher-volume buying), while any approach should define a tight stop just below the relevant support to manage risk.

If you’d like, I can monitor for a bullish breakout signal (e.g., close above $26.00 on strong volume) and provide an updated, action-ready note with revised levels and trendline annotations.

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