Beigene Stock Extends Losses With 8.09% Three-Day Drop As Technicals Turn Bearish

Beigene (ONC) experienced a 3.88% decline in the latest session, marking its third consecutive daily loss and bringing the total pullback over these three sessions to 8.09%. This weakness warrants a technical assessment utilizing the specified methodologies.
Candlestick Theory
The formation of three consecutive bearish candles (Three Black Crows pattern) signifies strong selling pressure. The most recent session closed near its low ($254.16 vs. intraday low $249.52), confirming bearish dominance. Key support is identified around $250 (recent swing low and psychological level), while resistance is evident near $275, aligning with the June 12th peak and recent rejection zone. A sustained break below $250 could accelerate downward momentum.
Moving Average Theory
The 50-day MA is declining towards the 200-day MA, hinting at a potential bearish "death cross" confirmation soon. Price has fallen decisively below the 50-day MA and is testing the 200-day MA near $234 (see Fibonacci section). The 100-day MA provides dynamic resistance around $258. This configuration signals a deteriorating intermediate trend, with the long-term uptrend (200-day MA slope) still intact but under threat.
MACD & KDJ Indicators
The MACD line is below its signal line and in negative territory, reinforcing bearish momentum without divergence. KDJ shows the %K line (24) and %D line (32) both deep in oversold territory (<30), reflecting the intensity of the recent sell-off. While KDJ oversold conditions often precede tactical bounces, the lack of bullish divergence and negative MACD suggest this may offer only temporary relief before further downside.
Bollinger Bands
Price is hugging the lower Bollinger Band, indicating sustained downward pressure. Bandwidth has expanded notably after a period of contraction, confirming a volatility breakout to the downside—a bearish continuation signal. Failure to reclaim the middle band (~$263) reinforces the bearish short-term bias. The lower band near $248 offers minor dynamic support.
Volume-Price Relationship
The recent decline occurred on elevated volume on June 12th ($201M) followed by above-average but sequentially decreasing volume during the sell-off days. This suggests conviction on the initial breakdown but less aggressive selling pressure as the price fell. Notably, volume on up days (e.g., June 9th, +3.10% on $129M) has been significantly weaker than volume on recent down days, indicating lackluster buying interest and reinforcing the bearish sentiment.
Relative Strength Index (RSI)
The 14-period RSI reading (~35) resides in neutral territory, avoiding oversold levels despite the sharp decline. This lack of an oversold reading amidst a significant drop suggests underlying weakness and potential for further downside before reaching technically oversold conditions (<30). The RSI’s trajectory points firmly downward, corroborating the bearish price action. However, it's crucial to remember RSI can remain extended during strong trends.
Fibonacci Retracement
Drawing from the significant swing low near $184.61 (January 13th) to the peak near $284.51 (June 12th), key retracement levels emerge. The 38.2% level ($246) was breached decisively. The 50% level ($234.50) aligns with the rising 200-day MA and represents critical support—a confluence zone where buyers may attempt to step in. Failure here targets the 61.8% level ($222.00). The current price action is probing the 50% area.
Conclusion
Multiple indicators exhibit confluence in signaling a bearish near-term outlook for Beigene. The breakdown below key support ($275/$263), bearish MA alignment, negative MACD, volume profile, price position below Bollinger Bands, and KDJ/RSI momentum all favor sellers. The critical $234-$235 Fibonacci and 200-day MA confluence zone represents the next major support. A decisive breakdown here would significantly increase the probability of extending the correction towards $222-$217. Conversely, reclaiming $260-$263 (former support now resistance) is needed to challenge the immediate bearish bias.