Hongkong Chinese Limited Stock Forecast

Hongkong Chinese Limited stock upgraded to Hold/Accumulate.
(Updated on Jun 14, 2024)

0655.HK Signals & Forecast

Volume gained on the last day while the price remained unchanged. This is not a classical divergence, but the stock should be watched more closely at it may be a "turning point". The very low volume increases the risk and reduces the other technical signals issued. Some negative signals were issued as well, and these may have some influence on the near short-term development. The Hongkong Chinese Limited stock holds sell signals from both short and long-term Moving Averages giving a more negative forecast for the stock. On corrections up, there will be some resistance from the lines at HK$0.296 and HK$0.291. A break-up above any of these levels will issue buy signals. A sell signal was issued from a pivot top point on Friday, May 31, 2024, and so far it has fallen -10.77%. Further fall is indicated until a new bottom pivot has been found. Furthermore, there is currently a sell signal from the 3 month Moving Average Convergence Divergence (MACD).

Support, Risk & Stop-loss for Hongkong Chinese Limited stock

Hongkong Chinese Limited finds support from accumulated volume at HK$0.280 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 HK$0.0050 between high and low, or 1.75%. For the last week, the stock has had daily average volatility of 1.39%.

Our recommended stop-loss: HK$0.273 (-6.00%) (This stock has medium daily movements and this gives medium risk. There is a sell signal from a pivot top found 10 days ago.)

Trading Expectations (0655.HK) For The Upcoming Trading Day Of Monday 17th

For the upcoming trading day on Monday, 17th we expect Hongkong Chinese Limited to open at HK$0.288, and during the day (based on 14 day Average True Range), to move between HK$0.280 and HK$0.300, which gives a possible trading interval of +/-HK$0.0104 (+/-3.58%) up or down from last closing price. If Hongkong Chinese Limited takes out the full calculated possible swing range there will be an estimated 7.16% 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$0.295 (1.72%) than the support at HK$0.280 (3.45%), 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 Hongkong Chinese Limited stock A Buy?

Hongkong Chinese Limited holds several negative signals and this should be a sell candidate, but due to the general chance for a turnaround situation it should be considered as a hold candidate (hold or accumulate) in this position whilst awaiting further development. We have upgraded our analysis conclusion for this stock since the last evaluation from a Sell to a Hold/Accumulate candidate.

Current score: 0.000 Hold/Accumulate Upgraded

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 Hongkong Chinese Limited of Monday, June 17, 2024

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