Stock Price Prediction

Based on the provided data and technical indicators, here is the analysis for MRK's price movement in the next trading week:

Technical Analysis

The technical indicators show bearish signals:

• RSI(14) at 37.96 indicates oversold conditions but still has room to decline further
• MACD at -0.97 shows strong bearish momentum
• Price is trading below both 20-day (98.92) and 60-day (99.68) moving averages, indicating a downward trend

News Sentiment Analysis

• Upcoming Q4 2024 earnings release on February 4, 2025 - analysts expect EPS of $1.76, significantly higher than $0.03 in Q4 2023
• Recent stock performance has lagged the broader market, falling 15.9% over the past 52 weeks
• Positive fundamental outlook with Joel Greenblatt's model giving MRK a 90% rating based on earnings yield and return on capital
• Pharmaceutical industry shows optimism about potential reforms under current administration that could benefit drug pricing and innovation

Price Projection for Next Week Based on Fibonacci levels:

• Resistance levels: R1: $100.72, R2: $102.22, R3: $104.64
• Support levels: S1: $95.88, S2: $94.38, S3: $91.96
• Pivot point: $98.30

Recommendation SELL with target price of $95.88 (S1 level). The bearish technical indicators combined with the stock trading below key moving averages suggest continued downward pressure in the short term. While long-term fundamentals remain strong, the upcoming earnings report could create additional volatility. Consider re-entering positions after the earnings release if technical signals improve.