Constellation Brands Inc Slides After Merger Talks With Monster
Leading adult beverage producer and distributor, Constellation Brands Inc (STZ), is falling lower today after having merger talks with Monster Beverage Corp (MNST). Obviously, Constellation Brands Inc (STZ) is the bigger company so this is really a possible acquisition on their part and that is why the stock is under pressure today. The stock is sliding by 2.85% to $227.06 a share. Traders should note that the stock is now trading below the important 200-day moving average. This puts the stock in a weak technical position on the charts and often signals further downside.
The next major support level for Constellation Brands Inc (STZ) stock will be around the $215.00 area. This key level is where the stock broke out to the upside in early October 2021. Often, stocks will be defended around important prior pivots. Until this stock tests this key area it might be an equity to avoid. The $215.00 area looks attractive for a long side trade with or without Monster Beverage.
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