China Life Insurance Company Limited Stock Forecast

On Friday, China Life Insurance Company Limited stock price gained an impressive 5.01%
(Updated on May 17, 2024)

2628.HK Signals & Forecast

The China Life Insurance Company 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$11.75 and HK$10.07. A breakdown below any of these levels will issue sell signals. A buy signal was issued from a pivot bottom point on Tuesday, April 16, 2024, and so far it has risen 48.23%. 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 is rising along with the price. This is considered to be a good technical signal.

Support, Risk & Stop-loss for China Life Insurance Company Limited stock

China Life Insurance Company Limited finds support from accumulated volume at HK$12.38 and this level may hold a buying opportunity as an upwards reaction can be expected when the support is being tested.

This stock may move much during the day (volatility) and with a large prediction interval from the Bollinger Band this stock is considered to be "high risk". During the last day, the stock moved HK$0.680 between high and low, or 5.48%. For the last week, the stock has had daily average volatility of 5.39%.

The China Life Insurance Company Limited stock is extremely overbought on RSI14 (86). 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$12.44 (-4.32%) (This stock has high daily movements and this gives high risk. The RSI14 is 86 and this increases the risk substantially. There is a buy signal from a pivot bottom found 21 days ago.)

Trading Expectations (2628.HK) For The Upcoming Trading Day Of Monday 20th

For the upcoming trading day on Monday, 20th we expect China Life Insurance Company Limited to open at HK$12.83, and during the day (based on 14 day Average True Range), to move between HK$12.56 and HK$13.44, which gives a possible trading interval of +/-HK$0.441 (+/-3.39%) up or down from last closing price. If China Life Insurance Company Limited takes out the full calculated possible swing range there will be an estimated 6.79% move between the lowest and the highest trading price during the day.

With no resistance above and support from accumulated volume @ HK$12.38, some HK$0.620 (4.77%) from the current price of HK$13.00, our system finds the risk reward attractive.

Is China Life Insurance Company Limited stock A Buy?

China Life Insurance Company 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: 0.000 Hold/Accumulate Unchanged

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 China Life Insurance Company Limited of Monday, May 20, 2024

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