The shares of Mercedes-Benz Group experienced a significant decline, dropping 3.9% to EUR 54.35 after attempting to break out but failing.

Previously, the stock had risen to EUR 57.23 but faced resistance at the upper trend channel boundary, resulting in a long upper wick on the candlestick chart.

The outlook for the shares has become more uncertain, with key resistance levels now at the short-term GD50 of EUR 54.85 and the October low of EUR 55.08.

If the stock successfully breaks these levels, it could target the August low of EUR 55.91, with further resistance at the July downtrend line and the medium-term 100-day line at EUR 56.81.

On the downside, the first support level is the September low of EUR 54.05.

If this level is breached, there is a possibility of a correction to the interim low of EUR 51.91 from November 6, and further declines could occur down to the year-to-date low of EUR 50.75.

If downward momentum continues, there may be concerns about a test of the lower trend channel boundary at the EUR 50 mark.