American Water Works Stock Forecast

American Water Works stock downgraded from Buy Candidate to Sell Candidate after Tuesday trading session.
(Updated on Jun 25, 2024)

AWK Signals & Forecast

Furthermore, there is a buy signal from the 3 month Moving Average Convergence Divergence (MACD). Some negative signals were issued as well, and these may have some influence on the near short-term development. The American Water Works stock holds sell signals from both short and long-term Moving Averages giving a more negative forecast for the stock. Also, there is a general sell signal from the relation between the two signals where the long-term average is above the short-term average. On corrections up, there will be some resistance from the lines at $130.12 and $130.81. A break-up above any of these levels will issue buy signals. A sell signal was issued from a pivot top point on Friday, May 10, 2024, and so far it has fallen -4.52%. Further fall is indicated until a new bottom pivot has been found. Volume rose on falling prices yesterday. This may be an early warning and the stock should be followed more closely.

Support, Risk & Stop-loss for American Water Works stock

On the downside, the stock finds support just below today's level from accumulated volume at $122.21 and $118.52. There is a natural risk involved when a stock is testing a support level, since if this is broken, the stock then may fall to the next support level. In this case, American Water Works finds support just below today's level at $122.21. If this is broken, then the next support from accumulated volume will be at $118.52 and $118.31.

In general the stock tends to have very controlled movements and with good liquidity the risk is considered very low in this stock. During the last day, the stock moved $3.13 between high and low, or 2.42%. For the last week the stock has had daily average volatility of 1.87%.

Our recommended stop-loss: We hold a negative evaluation for this stock. No stop-loss is set.

Trading Expectations (AWK) For The Upcoming Trading Day Of Wednesday 26th

For the upcoming trading day on Wednesday, 26th we expect American Water Works to open at $130.31, and during the day (based on 14 day Average True Range), to move between $126.95 and $131.79, which gives a possible trading interval of +/-$2.42 (+/-1.87%) up or down from last closing price. If American Water Works takes out the full calculated possible swing range there will be an estimated 3.73% move between the lowest and the highest trading price during the day.

Since the stock is closer to the resistance from accumulated volume at $130.77 (1.08%) than the support at $122.21 (5.53%), our systems don't find the trading risk/reward intra-day attractive and any bets should be held until the stock is closer to the support level.

Is American Water Works stock A Buy?

The American Water Works stock holds several negative signals and despite the positive trend, we believe American Water Works will perform weakly in the next couple of days or weeks. Therefore, we hold a negative evaluation of this stock. Due to some small weaknesses in the technical picture we have downgraded our analysis conclusion for this stock since the last evaluation from a Buy to a Sell candidate.

Current score: -1.892 Sell Candidate Downgraded

Predicted Opening Price for American Water Works of Wednesday, June 26, 2024

The predicted opening price is based on yesterday's movements between high, low, and closing price.