BRK falls for the week as only MACD provides a bullish signal – weekly report
Berkshire Hathaway Inc. (BRK) is currently trading at $494.89, reflecting a weekly decline of $8.70 or 1.73%. The stock is positioned just below its weekly MA-20 ($497.02) and MA-50 ($497.05), while it remains well above the longer-term MA-200 ($401.23), indicating medium-term weakness but an intact long-term uptrend.
Highlights
- Berkshire Hathaway remains in a long-term uptrend but faces medium-term selling pressure below key moving averages.
- Momentum signals are mixed with mild oversold readings, weak trend strength, and dominant selling reflected in recent weekly losses.
- Expected trading range for the next 7 days is $470–$515, with a 75% probability of continued decline and key support at $470.
Share buyback resumption and CEO shift as key sentiment drivers this week
Berkshire Hathaway has resumed its share repurchase program after nearly two years, a move made public with Greg Abel’s transition to CEO following Warren Buffett. Abel stated that the buyback aims to deliver long-term value for shareholders, though future repurchases will be announced quarterly. The company also reported quarterly results that missed some analyst expectations and affirmed a substantial cash reserve of $373 billion, while ruling out plans to introduce a dividend.
Moderate oversold signals as near-term selling persists over the week
On the weekly chart, BRK is trading below both the MA-20 and MA-50, reflecting near-term selling pressure, but remains well above the MA-200, which acts as a solid long-term support. Key technical levels this week are $470 as support and $515 as resistance. The RSI sits at 46.54, pointing to mild oversold conditions, while the Stochastic RSI at 31.14 and CCI at -108.85 confirm moderate oversold signals. Momentum indicators offer mixed views: the weekly MACD gives a strong buy, the Awesome Oscillator indicates a possible rebound, while Bull/Bear Power at -0.78 and an ADX of 8.66 highlight a lack of clear directional trend.
Neutral-to-bearish outlook as consolidation likely amid weak momentum next week
Over the next 5–7 trading days, BRK is likely to consolidate within a $470 to $515 range, given prevailing sentiment and muted trend strength. With only one of four major weekly momentum signals registering as bullish, further downside pressure is more probable — around a 75% chance — though short-term stabilization is possible. A decisive move above $515 could signal a bullish rotation, while a break below $470 would point to a renewed wave of selling and potential retest of lower supports. Neutral-to-bearish behavior is the baseline scenario given the current balance between bullish and bearish technical signals.
Previously it was reported that Berkshire Hathaway shares are currently trading below all major moving averages, indicating persistent downward pressure following a sharp daily decline. Technical indicators present mixed momentum signals, with the price hovering near dynamic support and oscillators reflecting oversold conditions amid heightened volatility and sustained selling.
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