After the recent drop in the price of the 1 & 1 Drillisch share to 17.11 euros, the telecommunications share has been able to work its way up again in the last few days. At 19.555 euros, the title reached a new peak in this recovery movement today. The 1 & 1 Drillisch share is currently quoted at EUR 19.41 (+4.13 percent), which means that it is clearly increasing in value – and yet a look at the technical situation on the chart shows a possible problem for the share price.
The reason for this is the lower limit of the gap, which was opened on September 21st. On that day, the 1 & 1 Drillisch share also reached the low of the price slump, which was due to news in the Dispute between 1 & 1 Drillisch and Telefonica Germany over transfer pricing went back. The downward gap is between EUR 19.70 and EUR 23.74, the lower limit has not yet been overcome. In contrast, an upstream hurdle zone of EUR 18.88 / EUR 19.22 was overcome today by the share certificate. The hurdle zone at EUR 19.55 / EUR 19.70 could now be decisive for the 1 & 1 Drillisch share in the short term. If there is a setback, a slide below EUR 18.31 / EUR 18.48 at the latest would be seen as a more massive sell signal. The first support could already be 18.88 / 19.22 euros.
The Warburg analysts had already confirmed their buy recommendation for the 1 & 1 Drillisch share on Friday, but at the same time lowered the target price from EUR 46 to EUR 40. At the current price level, that would still be more than 100 percent price gain. The background to the new price target are revised estimates in which the analysts have taken into account the higher trading prices of Telefonica Deutschland. Telefonica Deutschland’s move is a negotiation tactic, according to the analysts.