China Reinsurance (Group) Corporation Stock Forecast

Weaker technical forecast for China Reinsurance (Group) Corporation as stock downgraded to Buy Candidate.
(Updated on May 20, 2024)

1508.HK Signals & Forecast

The China Reinsurance (Group) Corporation 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$0.609 and HK$0.553. 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 Friday, May 17, 2024, and so far it has fallen 0%. Further fall is indicated until a new bottom pivot has been found. Volume fell during the last trading day while price remained unchanged. This may be an early warning, but it may also not. We still recommend that you pay attention over the next couple of days.

Support, Risk & Stop-loss for China Reinsurance (Group) Corporation stock

On the downside, the stock finds support just below today's level from accumulated volume at HK$0.570 and HK$0.540. 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, China Reinsurance (Group) Corporation finds support just below today's level at HK$0.570. If this is broken, then the next support from accumulated volume will be at HK$0.540 and HK$0.520.

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$0.0200 between high and low, or 3.28%. For the last week, the stock has had daily average volatility of 4.72%.

Our recommended stop-loss: HK$0.608 (-3.52%) (This stock has medium daily movements and this gives medium risk. There is a sell signal from a pivot top found 3 days ago.)

Trading Expectations (1508.HK) For The Upcoming Trading Day Of Tuesday 21st

For the upcoming trading day on Tuesday, 21st we expect China Reinsurance (Group) Corporation to open at HK$0.623, and during the day (based on 14 day Average True Range), to move between HK$0.606 and HK$0.654, which gives a possible trading interval of +/-HK$0.0241 (+/-3.82%) up or down from last closing price. If China Reinsurance (Group) Corporation takes out the full calculated possible swing range there will be an estimated 7.65% move between the lowest and the highest trading price during the day.

With no resistance above and support from accumulated volume @ HK$0.570, some HK$0.0600 (9.52%) from the current price of HK$0.630, our system finds the risk reward attractive.

Is China Reinsurance (Group) Corporation stock A Buy?

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 China Reinsurance (Group) Corporation stock to perform well in the short-term. Due to some small weaknesses in the technical picture we have downgraded our analysis conclusion for this stock since the last evaluation from a Strong Buy to a Buy candidate.

Current score: 3.078 Buy Candidate Downgraded

Predicted Opening Price for China Reinsurance (Group) Corporation of Tuesday, May 21, 2024

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