Sinopec Shanghai Petrochemical Co Ltd Stock Forecast
Explanation to Bollinger's Bands
Bollinger Bands was created by John Bollinger in the early 1980s, its purpose is to define price action relative to the assets highs and lows. This technical indicator is used to identify buy and sell signals and has proven very well in doing so.
Bollinger Bands consist of a set of three curves drawn in relation to securities prices. The middle band is a measure of the intermediate-term trend, usually a simple moving average, that serves as the base for the upper and lower bands. The interval between the upper and lower bands and the middle band is determined by volatility, typically the standard deviation of the same data that were used for the average. StockInvest.us uses Bollingers suggested 20 day average.
Middle Bollinger Band = 20-period simple moving average
Upper Bollinger Band = Middle Bollinger Band + 2 * 20-period standard deviation
Lower Bollinger Band = Middle Bollinger Band - 2 * 20-period standard deviation
BandWidth defines the current width of the band.
%b defines the current position within the band.
BandWidth = (Upper Bollinger Band - Lower Bollinger Band) / Middle Bollinger Band
%b = (Last - Lower Bollinger Band) / (Upper Bollinger Band - Lower Bollinger Band)
Live Samples:
Bottlenecks in bandwidth indicate an upcoming change. Break up through the moving average line or continuous movements above the moving average line indicate a break up, and vice versa.
Source: http://www.bollingerbands.com
Weaker technical forecast for Sinopec Shanghai Petrochemical Co Ltd as stock downgraded to Hold/Accumulate.
(Updated on Apr 26, 2024)
The Sinopec Shanghai Petrochemical Co Ltd stock price gained 2.78% on the last trading day (Friday, 26th Apr 2024), rising from HK$1.08 to HK$1.11. It has now gained 3 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 last trading day the stock fluctuated 2.78% from a day low at HK$1.08 to a day high of HK$1.11. The price has risen in 6 of the last 10 days and is up by 6.73% over the past 2 weeks. Volume fell on the last day by -21 million shares and in total, 15 million shares were bought and sold for approximately HK$16.18 million. You should take into consideration that falling volume on higher prices causes divergence and may be an early warning about possible changes over the next couple of days.
The stock lies the upper part of a 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 HK$1.12 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 -3.10% during the next 3 months and, with a 90% probability hold a price between HK$0.97 and HK$1.09 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.
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0338.HK Signals & Forecast
The Sinopec Shanghai Petrochemical Co Ltd 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 HK$1.05 and HK$1.07. A breakdown below any of these levels will issue sell signals. A buy signal was issued from a pivot bottom point on Wednesday, March 27, 2024, and so far it has risen 9.90%. 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). Volume fell during the last trading day despite gaining prices. This causes a divergence between volume and price and it may be an early warning. The stock should be watched closely.
Support, Risk & Stop-loss for Sinopec Shanghai Petrochemical Co Ltd stock
Sinopec Shanghai Petrochemical Co Ltd finds support from accumulated volume at HK$1.08 and this level may hold a buying opportunity as an upwards reaction can be expected when the support is being tested.
In general the stock tends to have very controlled movements and with good liquidity the risk is considered very low in this stock. During the last day, the stock moved HK$0.0300 between high and low, or 2.78%. For the last week the stock has had daily average volatility of 2.88%.
Our recommended stop-loss: HK$1.05 (-5.02%) (This stock has low daily movements and this gives low risk. There is a buy signal from a pivot bottom found 19 days ago.)
Trading Expectations (0338.HK) For The Upcoming Trading Day Of Monday 29th
For the upcoming trading day on Monday, 29th we expect Sinopec Shanghai Petrochemical Company Limited to open at HK$1.10, and during the day (based on 14 day Average True Range), to move between HK$1.08 and HK$1.14, which gives a possible trading interval of +/-HK$0.0307 (+/-2.77%) up or down from last closing price. If Sinopec Shanghai Petrochemical Company Limited takes out the full calculated possible swing range there will be an estimated 5.54% 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$1.12 (0.90%) than the support at HK$1.08 (2.70%), 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 Sinopec Shanghai Petrochemical Company Limited stock A Buy?
Sinopec Shanghai Petrochemical Co Ltd 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. Due to some small weaknesses in the technical picture we have downgraded our analysis conclusion for this stock since the last evaluation from a Buy to a Hold/Accumulate candidate.
Current score: 0.000 Hold/Accumulate Downgraded
Zero in score indicates that our system is expecting high volatility and risk for the following trading day. Given the latest developments, we cannot determine the next direction as it may go both ways.
Predicted Opening Price for Sinopec Shanghai Petrochemical Company Limited of Monday, April 29, 2024
| Fair opening price April 29, 2024 | Current price |
|---|---|
| HK$1.10 ( 0.90%) | HK$1.11 |
The predicted opening price is based on yesterday's movements between high, low, and closing price.
Trading levels for 0338.HK
Fibonacci Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 1.13 | 1.80 % | |
| R2 | 1.12 | 0.769 % | ||
| R1 | 1.11 | 0.132 % | ||
| Current price: | 1.11 | |||
| Support | S1 | 1.09 | -1.93 % | |
| S2 | 1.08 | -2.57 % | ||
| S3 | 1.07 | -3.60 % |
Accumulated Volume Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 1.14 | 2.70 % | |
| R2 | 1.13 | 1.80 % | ||
| R1 | 1.12 | 0.90 % | ||
| Current price | 1.11 | |||
| Support | S1 | 1.08 | -2.70% | |
| S2 | 1.06 | -4.50% | ||
| S3 | 1.03 | -7.21% |
0338 Dividend Payout History
| # | Ex-Date | Pay Date | Amount | Yield | |
|---|---|---|---|---|---|
| 1 | Jun 28, 2022 | Jun 28, 2022 | Jun 28, 2022 | HK$0.117 | 8.34% |
| 2 | Jun 21, 2021 | Jun 21, 2021 | Jun 21, 2021 | HK$0.121 | 6.80% |
| 3 | Jun 22, 2020 | Jun 22, 2020 | Jun 22, 2020 | HK$0.131 | 6.62% |
| 4 | Jun 24, 2019 | Jun 24, 2019 | Jun 24, 2019 | HK$0.284 | 9.19% |
| 5 | Jun 19, 2018 | Jun 19, 2018 | Jun 19, 2018 | HK$0.367 | 6.87% |
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