Reckitt Benckiser Group plc Stock Forecast

Reckitt Benckiser Group plc stock downgraded from Buy Candidate to Hold/Accumulate after Tuesday trading session.
(Updated on May 07, 2024)

3RB.DE Signals & Forecast

The Reckitt Benckiser Group plc 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 52.38€ and 50.79€. A breakdown below any of these levels will issue sell signals. A buy signal was issued from a pivot bottom point on Monday, April 15, 2024, and so far it has risen 9.65%. 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). Reckitt Benckiser Group plc has increased volume and follows the last lift in the price. This is considered to be a technical positive sign as volume should follow the price-formation. Higher liquidity also reduces the general risk.

Support, Risk & Stop-loss for Reckitt Benckiser Group plc stock

Reckitt Benckiser Group plc finds support from accumulated volume at 52.12€ 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 0.86€ between high and low, or 1.64%. For the last week, the stock has had daily average volatility of 1.51%.

The Reckitt Benckiser Group plc stock is overbought on RSI14 and lies in the upper part of the trend. Normally this may pose a good selling opportunity for the short-term trader, but some stocks may go long and hard while being overbought. Regardless, the high RSI together with the trend position increases the risk and higher daily movements (volatility) should be expected. A correction down in the nearby future seems very likely and it is of great importance that the stock manages to break the trend before that occurs.

Our recommended stop-loss: 50.93€ (-4.24%) (This stock has medium daily movements and this gives medium risk. The RSI14 is 90 and this increases the risk substantially. There is a buy signal from a pivot bottom found 15 days ago.)

Trading Expectations (3RB.DE) For The Upcoming Trading Day Of Wednesday 8th

For the upcoming trading day on Wednesday, 8th we expect Reckitt Benckiser Group plc to open at 53.07€, and during the day (based on 14 day Average True Range), to move between 52.08€ and 54.28€, which gives a possible trading interval of +/-1.10€ (+/-2.07%) up or down from last closing price. If Reckitt Benckiser Group plc takes out the full calculated possible swing range there will be an estimated 4.15% move between the lowest and the highest trading price during the day.

Since the stock is closer to the resistance from accumulated volume at 53.30€ (0.23%) than the support at 52.12€ (1.99%), 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 Reckitt Benckiser Group plc stock A Buy?

Reckitt Benckiser Group plc 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. Due to some small weaknesses in the technical picture we have downgraded our analysis conclusion for this stock since the last evaluation from a Buy to a Hold/Accumulate candidate.

Current score: 0.000 Hold/Accumulate Downgraded

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 Reckitt Benckiser Group plc of Wednesday, May 8, 2024

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