Volatile ride for Torchlight Energy Resources stock price on Thursday moving between $4.75 and $5.77StockInvest.us, 5 months ago
The Torchlight Energy Resources stock price fell by -3.46% on the last day (Thursday, 24th Jun 2021) from $4.92 to $4.75. and has now fallen 4 days in a row. During the day the stock fluctuated 21.47% from a day low at $4.75 to a day high of $5.77. The price has risen in 6 of the last 10 days and is up by 57.81% over the past 2 weeks. Volume fell on the last day along with the stock, which is actually a good sign as volume should follow the stock. On the last day, the trading volume fell by -14 million shares and in total, 121 million shares were bought and sold for approximately $575.03 million.
The stock lies in the lower part of a very wide and strong rising trend in the short term, and this may normally pose a very good buying opportunity. If the lower trend floor at $3.42 is broken, it will firstly indicate a slower rate of rising, but may also be an early warning for a trend shift.Given the current short-term trend, the stock is expected to rise 56.26% during the next 3 months and, with a 90% probability hold a price between $5.34 and $15.77 at the end of this 3-month period.
The Torchlight Energy Resources stock holds a sell signal from the short-term moving average; at the same time, however, there is a buy signal from the long-term average. Since the short-term average is above the long-term average there is a general buy signal in the stock giving a positive forecast for the stock. On further gains, the stock will meet resistance from the short-term moving average at approximately $6.32. On a fall, the stock will find some support from the long-term average at approximately $3.31. A break-up through the short-term average will send a buy signal, whereas a breakdown through the long-term average will send a sell signal. Furthermore, there is a buy signal from the 3 months Moving Average Convergence Divergence (MACD). 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 Monday, June 21, 2021, and so far it has fallen -52.12%. Further fall is indicated until a new bottom pivot has been found. Volume fell together with the price during the last trading day and this reduces the overall risk as volume should follow the price movements.
On the downside, the stock finds support just below today's level from accumulated volume at $3.58.With no support from accumulated volume below today's level the risk is increased, as a drop below the support at $0 may give a huge drop in the stock price.
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 $1.02 between high and low, or 21.47%. For the last week, the stock has had a daily average volatility of 31.10%.
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 Torchlight Energy Resources 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 Torchlight Energy Resources forecast and analysis here.