China Chuanglian Education Financial Stock Forecast

High volatility in China Chuanglian Education Financial stock price on Friday which ended trading at HK$0.0190
(Updated on May 24, 2024)

2371.HK Signals & Forecast

The China Chuanglian Education Financial 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$0.0184 and HK$0.0176. 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 Thursday, May 23, 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 China Chuanglian Education Financial stock

On the downside, the stock finds support just below today's level from accumulated volume at HK$0.0180 and HK$0.0170. 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 Chuanglian Education Financial finds support just below today's level at HK$0.0180. If this is broken, then the next support from accumulated volume will be at HK$0.0170 and HK$0.0160.

This stock may move much during the day (volatility) and with periodic low trading volume this stock is considered to be "high risk". During the last day, the stock moved HK$0.0020 between high and low, or 11.76%. For the last week the stock has had daily average volatility of 10.74%.

The China Chuanglian Education Financial stock is extremely overbought on RSI14 (80). 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: We hold a negative evaluation for this stock. No stop-loss is set.

Trading Expectations (2371.HK) For The Upcoming Trading Day Of Monday 27th

For the upcoming trading day on Monday, 27th we expect China Chuanglian Education Financial Group Limited to open at HK$0.0183, and during the day (based on 14 day Average True Range), to move between HK$0.0173 and HK$0.0207, which gives a possible trading interval of +/-HK$0.0017 (+/-9.03%) up or down from last closing price. If China Chuanglian Education Financial Group Limited takes out the full calculated possible swing range there will be an estimated 18.06% 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$0.0200 (5.26%) than the support at HK$0.0180 (5.26%), 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 China Chuanglian Education Financial Group Limited stock A Buy?

China Chuanglian Education Financial 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: -1.249 Sell Candidate Unchanged

Predicted Opening Price for China Chuanglian Education Financial Group Limited of Monday, May 27, 2024

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