China Information Technology Development Stock Forecast
China Information Technology Development stock upgraded from Sell Candidate to Hold/Accumulate after Friday trading session.
(Updated on May 10, 2024)
No changes to the price of China Information Technology Development stock on the last trading day (Friday, 10th May 2024). During the last trading day the stock fluctuated 0% from a day low at HK$1.49 to a day high of HK$1.49. The price has been going up and down for this period, and there has been a 2.76% gain for the last 2 weeks.
The stock lies in the middle of a wide and falling trend in the short term and further fall within the trend is signaled. Given the current short-term trend, the stock is expected to fall -13.85% during the next 3 months and, with a 90% probability hold a price between HK$1.10 and HK$1.36 at the end of this 3-month period. Do note, that if the stock price manages to stay at current levels or higher, our prediction target will start to change positively over the next few days as the conditions for the current predictions will be broken.
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8178.HK Signals & Forecast
The China Information Technology Development stock holds buy signals from both short and long-term Moving Averages giving a positive forecast for the stock, but the stock has a general sell signal from the relation between the two signals where the long-term average is above the short-term average. On corrections down, there will be some support from the lines at HK$1.48 and HK$1.49. 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 Tuesday, May 07, 2024, and so far it has fallen -0.667%. 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.
A buy signal from a double bottom formation was found on Friday, April 05, 2024 and based on theory for this formation the price should go up by 6.71% to HK$1.59 within 2 trading days since signal was issued (Monday, May 13, 2024).
Support, Risk & Stop-loss for China Information Technology Development stock
China Information Technology Development finds support from accumulated volume at HK$1.48 and this level may hold a buying opportunity as an upwards reaction can be expected when the support is being tested.
In general the stock tends to have very controlled movements and therefore the general risk is considered very low. However, be aware of low or falling volume and make sure to keep an eye on the stock During the last day, the stock moved HK$0 between high and low, or 0%. For the last week the stock has had daily average volatility of 1.27%
Our recommended stop-loss: HK$1.43 (-3.85%) (This stock has low daily movements and this gives low risk. There is a sell signal from a pivot top found 3 days ago.)
Trading Expectations (8178.HK) For The Upcoming Trading Day Of Monday 13th
For the upcoming trading day on Monday, 13th we expect China Information Technology Development Limited to open at HK$1.49, and during the day (based on 14 day Average True Range), to move between HK$1.44 and HK$1.54, which gives a possible trading interval of +/-HK$0.0484 (+/-3.25%) up or down from last closing price. If China Information Technology Development Limited takes out the full calculated possible swing range there will be an estimated 6.50% 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$1.50 (0.67%) than the support at HK$1.48 (0.67%), 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 Information Technology Development Limited stock A Buy?
China Information Technology Development 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. We have upgraded our analysis conclusion for this stock since the last evaluation from a Sell to a Hold/Accumulate candidate.
Current score: 0.000 Hold/Accumulate Upgraded
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 Information Technology Development Limited of Monday, May 13, 2024
| Fair opening price May 13, 2024 | Current price |
|---|---|
| HK$1.49 ( 0%) | HK$1.49 |
The predicted opening price is based on yesterday's movements between high, low, and closing price.
Trading levels for 8178.HK
Fibonacci Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 1.49 | . | |
| R2 | 1.49 | . | ||
| R1 | 1.49 | . | ||
| Current price: | 1.49 | |||
| Support | S1 | 1.49 | . | |
| S2 | 1.49 | . | ||
| S3 | 1.49 | . |
Accumulated Volume Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 1.65 | 10.74 % | |
| R2 | 1.54 | 3.36 % | ||
| R1 | 1.50 | 0.671 % | ||
| Current price | 1.49 | |||
| Support | S1 | 1.48 | -0.671% | |
| S2 | 1.47 | -1.34% | ||
| S3 | 1.43 | -4.03% |
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