OLN - Olin Corporation Fri 13'th Jan 2017
Stock analysis for Fri 13'th Jan 2017 (Updated daily)
Buy candidate since 2017-01-13
Olin Corporation Stock Analysis
Olin Corporation gained 0.59% in the last trading day rising from, USD 26.91 to USD 27.07. The price has been going up and down for this period, and there has been a 3.96% gain for the last 2 weeks. Volume fell in the last day by -0.74 million shares and ,in total, 1.21 million shares bought and sold for approximately USD 32.73 million. You should note that falling volume on higher prices causes divergence and may be an early warning about possible changes for the next couple of days.
Olin Corporation lays in the middle of a wide and strong rising trend in the short term and a further rise within the trend is signaled. Given the current short-term trend, the stock is expected to rise 26.7% during the next 3 months and, with 90% probability will hold a price between USD 32.94 and USD 37.29 at the end of this period.
Only positive signals in the chart today. Olin Corporation holds buy signals from both short- and long-term moving averages. In addition, there is a general buy signal from the relation between the two signals where the short-term average is above the long-term average. On corrections down there will be some support from the lines at USD 26.94 and USD 26.12. A break down below any of these levels will issue sell signals. A buy signal was issued from a pivot bottom point on Thursday January 12, 2017, which indicates further gains until a new top pivot has been found. Volume fell during the last trading day despite gaining prices. This causes a divergence between volume and price and may be an early warning. The stock should be watched closely.
Relative Strength Index (RSI)
RSI14 is 63 and the stock is currently not being overbought or oversold
Support & Resistance
On the downside the stock finds support just below today's level from accumulated volume at USD 25.36 and USD 21.96 On the upside the stock meets some resistance just above today's level from accumulated volume at USD 27.35 and USD 27.67.
There is natural risk involved when a stock is testing a support level, as if this is broken the stock may fall to the next support level. In this case Olin Corporation finds support just below today's level at 25.36. If this is broken the next support from accumulated volume will be at 21.96 and 21.94. The stock is about to test the resistance from accumulated volume at USD 27.35 and this may cause the stock to take a minor break or get into a more sideways move for a few days.
This stock is usually traded at good volume, and with minor daily changes the risk is considered to be low. During the last day the stock moved USD 0.52 between high and low, and this equals 1.93%. For the last week, the stock has had a daily average volatility of 3.02%.
Our recommended stoploss: USD 26.07 (-3.69%) ( criteria: risk and position in trend)
Several short-term signals, along with a general good trend, are positive and we conclude that the current level may hold a buying opportunity as there is a fair chance for this stock to perform well in the short-term. We have upgraded our recommendation for this stock since last evaluation from a Hold/Accumulate to a Buy Candidate.