Verizon Communications, Inc (NYSE:VZ) slid more than 4% lower on Monday after Goldman Sachs downgraded the stock from Buy to Neutral. The fall was in addition to a 5.64% decline on Friday following the release of the company’s first-quarter earnings print.

For that quarter, Verizon reported earnings per share of $1.35, meeting the analyst consensus estimate and sales of $33.6 billion, which beat the analyst consensus estimate of $33.54 billion. The post-earnings slide was likely due to the company lowering its EPS guidance for FY22, which they adjusted to come in at the lower end of the previously stated $5.40-$5.55 range.

The plunge took Verizon to a new 52-week low of $49.54 on Monday, a level which the stock hasn’t visited since March of 2020 when the COVID-19 pandemic first took hold.

Verizon could be in for more downside on Tuesday due to bearish patterns that have developed on the stock’s chart, but a bounce is certain to come in the near-future because stock’s never go straight down in the same way that they never go straight up.

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The Verizon Chart: The last two daily candlesticks on Verizon’s chart are both bearish kicker candlesticks, which suggests a third bearish kicker candlestick could form on Tuesday. If one does, Verizon may form a sanku pattern, which is the Japanese term for a three gap down reversal pattern.

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