INTEL Corp. is trading down 0.79% at 27.35

Mario Draghi’s outgoing government and Intel (NASDAQ:INTC) have picked the town of Vigasio in the north-eastern Veneto region as their preferred site for a new multibillion-euro chip factory in Italy, two people familiar with the matter said.

Intel’s investment in Italy is part of a wider plan announced by the U.S. chipmaker last March to invest as much as 80 billion euros ($77.5 billion) over the next decade in building capacity across Europe.

With an initial investment worth some 4.5 billion euros expected to rise over time, Intel has said the Italian plant would create 1,500 jobs plus an additional 3,500 jobs across suppliers and partners, with operations to start between 2025 and 2027.

The Italian factory would be an advanced semiconductor packaging and assembly plant, using new technologies to weave together full chips out of tiles.

Asking not to be named due to the sensitivity of the matter, the sources said that the parties had detailed a comprehensive agreement in early September, but no public announcement would be made before the outcome of Sunday’s general election.

A spokesperson for Intel did not comment as negotiations are ongoing and confidential. Draghi’s office also declined to comment.

Located near Verona, on the strategic Brenner motorway and railway, Vigasio is the preferred option from a shortlist of two sites which also includes one in the north-western Piedmont region.

Among other reasons, the site is well connected with Germany and in particular with the city of Magdeburg, where Intel will build two factories, one of the sources added.

Intel and the government had also initially considered sites in the Lombardy, Apulia and Sicily regions.

On technical fronts INTEL Corp.:RSI stood at 23.47 and currently it is trading below all MA. So, SELL position can be taken with following target and stoploss:

TRADE SIGNAL – : INTEL Corp.– SELL: 27.35, TARGET: 27.19, STOP LOSS: 27.52