Genmab (GMAB) drops 3.17% on three-day 6.61% decline as technical indicators signal bearish trend continuation.

Genmab (GMAB) fell 3.17% in the most recent session, marking a three-day losing streak with a cumulative decline of 6.61%. This sharp correction suggests bearish momentum, warranting a multi-dimensional technical review to assess potential turning points or continuation signals.
Candlestick Theory
The recent price action exhibits a bearish engulfing pattern over three sessions, with lower highs and lower lows confirming a breakdown. Key support levels emerge at the 2025-12-15 low of $31.57 and the 2025-12-12 low of $31.31, both of which have historically acted as barriers to further declines. Resistance is clustered around the 2025-12-23 high of $33.67 and the 2025-12-19 high of $32.80. A break below $31.31 could trigger a test of the $30.82 trough from late November, while a recovery above $32.52 (2025-12-29 high) may signal a short-term reversal.
Moving Average Theory
The 50-day moving average (currently ~$31.80) is below the 200-day MA (~$32.20), indicating a bearish bias. The 100-day MA (~$32.00) provides a near-term reference for potential bounce scenarios. The 20-day MA (~$31.60) has recently crossed below the 50-day MA, reinforcing the downtrend. A sustained close above the 50-day MA may trigger a bullish crossover, but this appears improbable without a reversal in volume dynamics.
MACD & KDJ Indicators
The MACD histogram has turned negative, with the line crossing below the signal line, confirming bearish momentum. The KDJ stochastic oscillator shows oversold conditions (K ~20, D ~25), suggesting a potential rebound. However, a bearish divergence is evident as prices continue to fall while K-D converges, implying the downtrend may persist.
Bollinger Bands
Volatility has expanded, with prices currently near the lower Bollinger Band (~$31.30). This suggests heightened selling pressure, but the band’s width (~$1.80) indicates a potential consolidation phase ahead. A retest of the upper band (~$33.30) would require a significant shift in market sentiment.
Volume-Price Relationship
Trading volume has surged during the recent decline, peaking at 2.46 million shares on 2025-12-30. This confirms the bearish breakdown but raises questions about exhaustion if volume wanes in subsequent sessions. A volume contraction during a rebound would weaken the validity of a short-term bounce.
Relative Strength Index (RSI)
The 14-period RSI has dropped to ~28, entering oversold territory. However, the RSI has remained below 30 for three consecutive sessions without a meaningful rebound, suggesting the downtrend is not yet exhausted. A closing candle above 35 would be required to signal a potential reversal, but this appears contingent on a breakout above the $32.52 resistance.
Fibonacci Retracement
Applying Fibonacci levels to the recent $31.39–$33.67 range, key retracement levels at 38.2% ($32.70) and 50% ($32.54) align with the 100-day and 50-day MAs, respectively. A failure to hold 61.8% ($32.20) could accelerate the decline toward the $31.31 support level.
Confluence and Divergences
The bearish alignment of candlestick patterns, moving averages, and MACD suggests a continuation of the downtrend. However, the RSI’s oversold reading and KDJ’s stochastic setup hint at a short-term bounce. A critical confluence point lies at $32.52, where a reversal could trigger a rally to $32.70. Divergences between volume and price during the recent decline also raise caution about the sustainability of further losses.

Summary
Genmab’s technical profile reflects a bearish bias, with multiple indicators converging on a continuation of the downtrend. Key support at $31.31 and resistance at $32.52 define the near-term range. While the RSI and stochastic oscillator suggest a potential rebound, this is contingent on volume validation and a breakout above critical moving averages. Traders should monitor the 50-day MA as a dynamic pivot point, with a breach potentially signaling a trend reversal. The probabilistic outlook remains bearish in the short term but leaves room for a countertrend rally if $32.52 holds.