High volatility in AMC Entertainment Holdings Inc stock price on Tuesday which ended trading at $44.26StockInvest.us, 1 month ago
The AMC Entertainment Holdings Inc stock price gained 20.34% on the last trading day (Tuesday, 24th Aug 2021), rising from $36.78 to $44.26. , and has now gained 4 days in a row. It will be exciting to see whether it manages to continue gaining or take a minor break for the next few days. During the day the stock fluctuated 32.60% from a day low at $36.35 to a day high of $48.20. The price has risen in 7 of the last 10 days and is up by 39.4% over the past 2 weeks. Volume has increased on the last day along with the price, which is a positive technical sign, and, in total, 148 million more shares were traded than the day before. In total, 223 million shares were bought and sold for approximately $9.89 billion.
On August 19, 2021 "Citigroup" gave "$3.70 - $5.00" rating for AMC. The price target was changed from $36.55 to 1.6%.
The stock lies the upper part of a very wide and falling trend in the short term, and this may normally pose a very good selling opportunity for the short-term trader as reaction back towards the lower part of the trend can be expected. A break up at the top trend line at $48.99 will firstly indicate a slower falling rate, but may be the first sign of a trend shift.Given the current short-term trend, the stock is expected to fall -23.12% during the next 3 months and, with a 90% probability hold a price between $1.29 and $37.66 at the end of this 3-month period. Do note, that if the stock price manages to stay at current levels or higher, our prediction target will start to change positively over the next few days as the conditions for the current predictions will be broken.
The AMC Entertainment Holdings Inc stock holds buy signals from both short and long-term moving averages giving a positive forecast for the stock, but the stock has a general sell signal from the relation between the two signals where the long-term average is above the short-term average. On corrections down, there will be some support from the lines at $36.95 and $37.08. A breakdown below any of these levels will issue sell signals. Furthermore, there is a buy signal from the 3 months Moving Average Convergence Divergence (MACD). Volume is rising along with the price. This is considered to be a good technical signal. Some negative signals were issued as well, and these may have some influence on the near short-term development. A sell signal was issued from a pivot top point on Wednesday, June 02, 2021, and so far it has fallen -29.24%. Further fall is indicated until a new bottom pivot has been found.
AMC Entertainment Holdings Inc finds support from accumulated volume at $43.09 and this level may hold a buying opportunity as an upwards reaction can be expected when the support is being tested.
This stock may move much during the day (volatility) and with a large prediction interval from the Bollinger Band this stock is considered to be "high risk". During the last day, the stock moved $11.85 between high and low, or 32.60%. For the last week, the stock has had a daily average volatility of 13.34%.
The AMC Entertainment Holdings Inc stock is overbought on RSI14 and lies in the upper part of the trend. Normally this may pose a good selling opportunity for the short-term trader, but some stocks may go long and hard while being overbought and the RSI is still moving upwards. Regardless, the high RSI together with the trend position increases the risk and higher daily movements (volatility) should be expected. A correction down in the nearby future seems very likely, and it is of great importance that the stock manages to break the trend before that occurs.
Several short-term signals are positive, despite the stock being in a falling trend, we conclude that the current level may hold a buying opportunity as there is a fair chance for stock to perform well in the short-term. We have upgraded our analysis conclusion for this stock since the last evaluation from a Hold/Accumulate to a Buy candidate.Check full AMC Entertainment Holdings Inc forecast and analysis here.