Mongolia Energy Corporation Limited Stock Forecast

Red day on Wednesday for Mongolia Energy Corporation Limited stock after losing 0%
(Updated on May 29, 2024)

0276.HK Signals & Forecast

The Mongolia Energy Corporation Limited 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 HK$0.633 and HK$0.614. A breakdown below any of these levels will issue sell signals. 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. A sell signal was issued from a pivot top point on Tuesday, May 28, 2024, and so far it has fallen 0%. Further fall is indicated until a new bottom pivot has been found. Volume fell on the last day without any changes to the price. This does not cause any direct divergence but may be an early warning and a possible "turning point". The very low volume increases the risk and reduces the other technical signals issued.

Support, Risk & Stop-loss for Mongolia Energy Corporation Limited stock

On the downside, the stock finds support just below today's level from accumulated volume at HK$0.640 and HK$0.630. 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, Mongolia Energy Corporation Limited finds support just below today's level at HK$0.640. If this is broken, then the next support from accumulated volume will be at HK$0.630 and HK$0.590.

This stock has average movements during the day, but be aware of low or falling volume as this increases the risk. During the last day, the stock moved HK$0 between high and low, or 0%. For the last week the stock has had daily average volatility of 12.22%.

The Mongolia Energy Corporation Limited stock is extremely overbought on RSI14 (88). 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.

Our recommended stop-loss: HK$0.658 (-3.24%) (This stock has medium daily movements and this gives medium risk. The RSI14 is 88 and this increases the risk substantially. There is a sell signal from a pivot top found 14 days ago.)

Trading Expectations (0276.HK) For The Upcoming Trading Day Of Thursday 30th

For the upcoming trading day on Thursday, 30th we expect Mongolia Energy Corporation Limited to open at HK$0.680, and during the day (based on 14 day Average True Range), to move between HK$0.631 and HK$0.729, which gives a possible trading interval of +/-HK$0.0491 (+/-7.23%) up or down from last closing price. If Mongolia Energy Corporation Limited takes out the full calculated possible swing range there will be an estimated 14.45% move between the lowest and the highest trading price during the day.

Since the stock is closer to the resistance from accumulated volume at HK$0.690 (1.47%) than the support at HK$0.640 (5.88%), 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 Mongolia Energy Corporation Limited stock A Buy?

Mongolia Energy Corporation Limited holds several positive signals, but we still don't find these to be enough for a buy candidate. At the current level, it should be considered as a hold candidate (hold or accumulate) in this position whilst awaiting further development.

Current score: -0.015 Hold/Accumulate Unchanged

Predicted Opening Price for Mongolia Energy Corporation Limited of Thursday, May 30, 2024

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