Coupang's 3.52% Drop Extends Two-Day Loss to 4.59% as Bearish Technical Signs Mount

Coupang (CPNG) has experienced a 3.52% decline in the most recent session, extending its two-day loss to 4.59%. This bearish momentum suggests a potential breakdown in key support levels, particularly as the price approaches the $22.45–$23.27 range identified in recent candlestick patterns. The formation of a bearish engulfing pattern over the past two days, with closing prices near intraday lows, reinforces the likelihood of further downward pressure.

Key support levels at $22.45 and $21.98 (previous troughs) may act as short-term barriers, while resistance at $23.27 (a prior swing high) could test the validity of this bearish bias.

Candlestick Theory

The recent price action reveals a potential bearish continuation pattern, with the 2026-01-08 session forming a hanging man candle (a reversal signal) followed by a confirmation lower close. Critical support levels at $22.45 and $21.98 align with prior troughs, while resistance is clustered between $23.27 and $24.05. A breakdown below $22.45 may target $21.98, while a rejection above $23.27 could trigger a short-term rebound.

Moving Average Theory

The 50-day moving average currently sits at approximately $24.50, while the 200-day MA is near $26.50, indicating a medium-term downtrend. The price’s position well below both indicators confirms bearish momentum. A crossover of the 50-day MA below the 200-day MA (a "death cross") in early 2025 further underscores the bearish bias. However, a sustained rebound above $24.50 could signal a short-term reversal in the 50-day MA trajectory.

MACD & KDJ Indicators

The MACD histogram has turned negative, with the MACD line crossing below the signal line in early 2026, confirming bearish momentum. The KDJ stochastic oscillator shows the %K line below 20, suggesting oversold conditions, but the %D line remains in oversold territory, indicating a lack of immediate reversal signals. Divergence between the KDJ and price action is absent, implying the downtrend may persist until a bullish crossover occurs.

Bollinger Bands

The price has recently tested the lower Bollinger Band ($22.33–$22.45), a sign of heightened volatility and potential exhaustion in the sell-off. The bands have widened since December 2025, reflecting increased volatility, but a sustained break below the lower band may signal a continuation of the bearish trend. A retest of the mid-band ($23.45) could act as a pivot point for short-term buyers.

Volume-Price Relationship

Trading volume has surged during the recent decline, with the 2026-01-08 session recording 19.2 million shares traded, validating the bearish move. However, volume has not shown a definitive spike to confirm a breakdown below $22.45, suggesting mixed conviction among sellers. A follow-through increase in volume during a break of key support levels would strengthen the case for further declines.

Relative Strength Index (RSI)

The RSI has dipped below 30, entering oversold territory, but remains in this range due to the prolonged downtrend. While this may suggest a temporary pause in selling pressure, the absence of a divergence between RSI and price action (e.g., lower lows with higher RSI) indicates the bearish trend is intact. A closing above $23.27 and a corresponding RSI rebound above 50 would be required to signal a reversal.

Fibonacci Retracement

Applying Fibonacci levels between the 2025-09-08 low ($26.6) and the 2025-12-26 high ($25.38), the price is currently testing the 61.8% retracement level at $23.50. A breakdown below this level would target the 78.6% retracement at $22.50, with the 100% level ($21.98) as the next critical support. A rejection above $23.50 could trigger a countertrend rally toward $24.05, aligning with the 50% retracement level.

The confluence of bearish candlestick patterns, bearish moving average crossovers, and oversold RSI conditions highlights a high probability of continued downside. However, the absence of a KDJ divergence and the price’s proximity to key Fibonacci and Bollinger Band levels suggest potential for a short-term bounce if volume surges during a rejection at $22.45. Divergences between volume and price action during a test of $21.98 would be critical to monitor for confirmation of a deeper breakdown.