Sichuan Huiyuan Optical Communications Stock Forecast

Red day on Tuesday for Sichuan Huiyuan Optical Communications stock after losing 1.10%
(Updated on May 21, 2024)

000586.SZ Signals & Forecast

There are mixed signals in the stock today. The Sichuan Huiyuan Optical Communications 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 ¥9.15 and ¥9.49. A break-up above any of these levels will issue buy signals. Volume fell together with the price during the last trading day and this reduces the overall risk as volume should follow the price movements. A buy signal was issued from a pivot bottom point on Tuesday, April 16, 2024, and so far it has risen 12.55%. Further rise is indicated until a new top pivot has been found. Furthermore, there is a buy signal from the 3 month Moving Average Convergence Divergence (MACD).

Support, Risk & Stop-loss for Sichuan Huiyuan Optical Communications stock

Sichuan Huiyuan Optical Communications finds support from accumulated volume at ¥8.86 and this level may hold a buying opportunity as an upwards reaction can be expected when the support is being tested.

This stock has average movements during the day and with good trading volume, the risk is considered to be medium. During the last day, the stock moved ¥0.310 between high and low, or 3.50%. For the last week, the stock has had daily average volatility of 4.44%.

Sichuan Huiyuan Optical Communications is oversold on RSI14 (23). Some stocks may drop long and hard while being oversold on RSI before turning, which increases the general risk.

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

Trading Expectations (000586.SZ) For The Upcoming Trading Day Of Wednesday 22nd

For the upcoming trading day on Wednesday, 22nd we expect Sichuan Huiyuan Optical Communications to open at ¥8.99, and during the day (based on 14 day Average True Range), to move between ¥8.37 and ¥9.57, which gives a possible trading interval of +/-¥0.595 (+/-6.64%) up or down from last closing price. If Sichuan Huiyuan Optical Communications takes out the full calculated possible swing range there will be an estimated 13.28% move between the lowest and the highest trading price during the day.

Since the stock is closer to the support from accumulated volume at ¥8.86 (1.23%) than the resistance at ¥9.78 (9.03%), our systems sees the trading risk/reward intra-day as attractive and believe profit can be made before the stock reaches first resistance..

Is Sichuan Huiyuan Optical Communications stock A Buy?

Sichuan Huiyuan Optical Communications holds several negative signals and we believe that it will still perform weakly in the next couple of days or weeks. We, therefore, hold a negative evaluation of this stock.

Current score: -1.881 Sell Candidate Unchanged

Predicted Opening Price for Sichuan Huiyuan Optical Communications of Wednesday, May 22, 2024

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