Will BioNtech sustain the $140 support level?

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BioNtech SE (NASDAQ: BNTX) is bullish this week, having gained 16.03% to trade at $158. The gains come after the company reported growth in vaccine sales. The company still expects vaccine sales to decline. This week’s rally comes after the company announced the completion of Phase II coronavirus vaccine trials in China.

BioNtech is a fundamentally strong stock. The company has more than $10 billion in cash, based on the Q1 report. BioNtech has been among the fast-growing stocks. The company is A-rated on value and growth. The F-rating on momentum means the stock is unlikely to maintain the current price trend.

A recent partnership in China where new coronavirus outbreaks are being recorded creates unique opportunities for BioNtech. Though vaccine sales to the rest of the world may decline, BioNtech will be supported by the Chinese partnership. The company remains fundamentally strong, and the strength will continue supporting the stock.

BioNtech consolidates between $140 and $180

Source – TradingView

Technical analysis shows that BioNtech continues to consolidate prices between $140 support and $180 resistance. The prices are projected to remain within this range for the better part of this year. The RSI has pointed to a potential upward trend. Nonetheless, this analysis considers that the RSI will remain between 40 and 50 for the foreseeable future.

Summary

BioNtech remains fundamentally strong on value and growth investing styles. Recent success in coronavirus vaccine Phase II trials in China will prop the decline in sales to other markets. The stock will remain between $130 and $180 as the recession bites.

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