High volatility in Sundial Growers Inc. stock price on Thursday which ended trading at $1.29StockInvest.us, 3 months ago
The Sundial Growers Inc. stock price gained 14.16% on the last trading day (Thursday, 3rd Jun 2021), rising from $1.13 to $1.29. , and has now gained 5 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 21.14% from a day low at $1.23 to a day high of $1.49. The price has risen in 7 of the last 10 days and is up by 77.2% 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, 501 million more shares were traded than the day before. In total, 886 million shares were bought and sold for approximately $1.14 billion.
The last rating was given by Canaccord Genuity on March 19, 2021. The price target was changed from $0.40 to $0.65.Over the last 30 days, this security got 0 buy, 0 sell, and 1 hold ratings.
The stockhas broken the very wide and falling short-term trend up. Firstly a slower falling rate is indicated, but this may very well be an early signal of a trend shift. On the reaction, there will be support on the roof of the current trend broken, which is $1.07, a level that may pose a second chance to hit a runner. According to fan-theory $1.59 will be the next possible trendtop level and thereby pose a resistance level which may not be broken on the first attempt.
Mostly positive signals in the chart today. The Sundial Growers Inc. stock holds buy signals from both short and long-term moving averages giving a positive forecast for the stock. Also, 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 $0.98 and $0.84. A breakdown below any of these levels will issue sell signals. A buy signal was issued from a pivot bottom point on Thursday, May 13, 2021, and so far it has risen 86.96%. Further rise is indicated until a new top pivot has been found. 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.
On the downside, the stock finds support just below today's level from accumulated volume at $1.13 and $1.00.There is 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, Sundial Growers Inc. finds support just below today's level at $1.13. If this is broken, then the next support from accumulated volume will be at $1.00 and $0.97.
This stock may move very much during the day (volatility) and with a very large prediction interval from the Bollinger Band this stock is considered to be "very high risk". During the last day, the stock moved $0.26 between high and low, or 21.14%. For the last week, the stock has had a daily average volatility of 15.84%.
The Sundial Growers Inc. stock is extremely overbought on RSI14 (85). Normally this may pose a good selling opportunity but since the stock has broken the trend up, the chance for a major correction due to high RSI is very small as the stock will find support at the trend broken.
Sundial Growers Inc. holds several positive signals and the break up from the falling trend indicates a possible shift of trend as well. The trend doesn't have to go from falling to rising, it may as well go horizontal or even just decrease the earlier fall rate, but we find the risk-reward to be attractive and expect the stock to perform very well in the short term period. We have upgraded our analysis conclusion for this stock since the last evaluation from a Hold/Accumulate to a Strong Buy Candidate candidate.Check full Sundial Growers Inc. forecast and analysis here.