Bank of Communications Co., Ltd. Stock Forecast

Bank of Communications Co., Ltd. stock price ended at HK$6.13 on Monday, after gaining 0.82%.
(Updated on May 27, 2024)

3328.HK Signals & Forecast

The Bank of Communications Co., Ltd. stock holds a sell signal from the short-term Moving Average; at the same time, however, there is a buy signal from the long-term average. Since the short-term average is above the long-term average there is a general buy signal in the stock giving a positive forecast for the stock. On further gains, the stock will meet resistance from the short-term Moving Average at approximately HK$6.19. On a fall, the stock will find some support from the long-term average at approximately HK$5.64. A break-up through the short-term average will send a buy signal, whereas a breakdown through the long-term average will send a sell signal. 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. 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 Monday, May 20, 2024, and so far it has fallen -2.23%. Further fall is indicated until a new bottom pivot has been found. The stock had a Golden Star Signal on Thursday, February 01, 2024 in the long-term chart.

Golden Star Signal is when the short-term moving average, the long-term moving average, and price line meet in a special combination. This combination is very rare and often followed by long and strong gains for the stock in question.

Support, Risk & Stop-loss for Bank of Communications Co., Ltd. stock

On the downside, the stock finds support just below today's level from accumulated volume at HK$5.28 and HK$5.25. 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, Bank of Communications Co., Ltd. finds support just below today's level at HK$5.28. If this is broken, then the next support from accumulated volume will be at HK$5.25 and HK$5.22.

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$0.110 between high and low, or 1.82%. For the last week, the stock has had daily average volatility of 2.33%.

Our recommended stop-loss: HK$5.91 (-3.67%) (This stock has medium daily movements and this gives medium risk. There is a sell signal from a pivot top found 34 days ago.)

Trading Expectations (3328.HK) For The Upcoming Trading Day Of Tuesday 28th

For the upcoming trading day on Tuesday, 28th we expect Bank of Communications Co., Ltd. to open at HK$6.12, and during the day (based on 14 day Average True Range), to move between HK$5.99 and HK$6.27, which gives a possible trading interval of +/-HK$0.140 (+/-2.29%) up or down from last closing price. If Bank of Communications Co., Ltd. takes out the full calculated possible swing range there will be an estimated 4.57% 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$6.15 (0.33%) than the support at HK$5.28 (13.87%), 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 Bank of Communications Co., Ltd. stock A Buy?

Bank of Communications 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.

Current score: 0.118 Hold/Accumulate Unchanged

Predicted Opening Price for Bank of Communications Co., Ltd. of Tuesday, May 28, 2024

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