The Weir Group's share price was heavily penalized and is now in an oversold situation near to a solid support area.

Technically, in daily data, even if moving averages are still in a downtrend, a positive reaction in the GBp 2136 area should stop this trend and allow a technical rebound towards GBp 2222. Moreover, technical indicators show a significant oversold condition which strengthens this bullish scenario. The mid-term resistance at GBp 2395 could be a second target.

Thanks to the technical pattern and the strong fundamentals, active investors can take a long position above GBp 2136. The downside potential is limited and the timing seems perfect to benefit from a technical rebound. The goals will be fixed at GBp 2222 in a first time and then at GBp 2395. However, a bearish trend would regain the upper hand if the security crosses GBp 2136.