Ambuja Cements Limited Stock Forecast
Explanation to Bollinger's Bands
Bollinger Bands was created by John Bollinger in the early 1980s, its purpose is to define price action relative to the assets highs and lows. This technical indicator is used to identify buy and sell signals and has proven very well in doing so.
Bollinger Bands consist of a set of three curves drawn in relation to securities prices. The middle band is a measure of the intermediate-term trend, usually a simple moving average, that serves as the base for the upper and lower bands. The interval between the upper and lower bands and the middle band is determined by volatility, typically the standard deviation of the same data that were used for the average. StockInvest.us uses Bollingers suggested 20 day average.
Middle Bollinger Band = 20-period simple moving average
Upper Bollinger Band = Middle Bollinger Band + 2 * 20-period standard deviation
Lower Bollinger Band = Middle Bollinger Band - 2 * 20-period standard deviation
BandWidth defines the current width of the band.
%b defines the current position within the band.
BandWidth = (Upper Bollinger Band - Lower Bollinger Band) / Middle Bollinger Band
%b = (Last - Lower Bollinger Band) / (Upper Bollinger Band - Lower Bollinger Band)
Live Samples:
Bottlenecks in bandwidth indicate an upcoming change. Break up through the moving average line or continuous movements above the moving average line indicate a break up, and vice versa.
Source: http://www.bollingerbands.com
Weaker technical forecast for Ambuja Cements Limited as stock downgraded to Hold/Accumulate.
(Updated on Jun 21, 2024)
The Ambuja Cements Limited stock price fell by -0.258% on the last day (Friday, 21st Jun 2024) from ₹659.15 to ₹657.45. It has now fallen 4 days in a row. During the last trading day the stock fluctuated 2.29% from a day low at ₹653.00 to a day high of ₹667.95. The price has fallen in 6 of the last 10 days but is still up by 7.77% over the past 2 weeks. Volume has increased on the last day by 883 thousand shares but on falling prices. This may be an early warning and the risk will be increased slightly over the next couple of days. In total, 4 million shares were bought and sold for approximately ₹2.45 billion.
The stock lies in the upper part of a wide and weak rising trend in the short term, and this may normally pose a very good selling opportunity for the short-term trader as reaction back towards the lower part of the trend can be expected. A break-up at the top trend line at ₹679.41 will firstly indicate a stronger rate of rising. Given the current short-term trend, the stock is expected to rise 5.21% during the next 3 months and, with a 90% probability hold a price between ₹592.58 and ₹714.82 at the end of this 3-month period.
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AMBUJACEM.NS Signals & Forecast
The Ambuja Cements Limited 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 ₹666.84. On a fall, the stock will find some support from the long-term average at approximately ₹626.87. 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). 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 Friday, June 14, 2024, and so far it has fallen -2.92%. Further fall is indicated until a new bottom pivot has been found. Volume rose on falling prices yesterday. This may be an early warning and the stock should be followed more closely.
Support, Risk & Stop-loss for Ambuja Cements Limited stock
Ambuja Cements Limited finds support from accumulated volume at ₹625.70 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 ₹14.95 between high and low, or 2.29%. For the last week, the stock has had daily average volatility of 2.36%.
Our recommended stop-loss: ₹635.18 (-3.39%) (This stock has medium daily movements and this gives medium risk. There is a sell signal from a pivot top found 12 days ago.)
Trading Expectations (AMBUJACEM.NS) For The Upcoming Trading Day Of Monday 24th
For the upcoming trading day on Monday, 24th we expect Ambuja Cements Limited to open at ₹659.47, and during the day (based on 14 day Average True Range), to move between ₹633.46 and ₹681.44, which gives a possible trading interval of +/-₹23.99 (+/-3.65%) up or down from last closing price. If Ambuja Cements Limited takes out the full calculated possible swing range there will be an estimated 7.30% move between the lowest and the highest trading price during the day.
Since the stock is closer to the resistance from accumulated volume at ₹664.50 (1.07%) than the support at ₹625.70 (4.83%), 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 Ambuja Cements Limited stock A Buy?
Ambuja Cements 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. 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: 0.232 Hold/Accumulate Downgraded
Predicted Opening Price for Ambuja Cements Limited of Monday, June 24, 2024
| Fair opening price June 24, 2024 | Current price |
|---|---|
| ₹659.47 ( 0.307%) | ₹657.45 |
The predicted opening price is based on yesterday's movements between high, low, and closing price.
Trading levels for AMBUJACEM.NS
Fibonacci Support & Resistance Levels
| Level | Price | |
|---|---|---|
| R3 | 674.42 | 2.58% |
| R2 | 668.71 | 1.71% |
| R1 | 665.18 | 1.18% |
| Price | 657.45 | |
| S1 | 653.76 | -0.562% |
| S2 | 650.23 | -1.10% |
| S3 | 644.52 | -1.97% |
Accumulated Volume Support & Resistance Levels
| Level | Price | |
|---|---|---|
| R3 | 677.20 | 3.00% |
| R2 | 670.80 | 2.03% |
| R1 | 664.50 | 1.07% |
| Price | 657.45 | |
| S1 | 625.70 | -4.83% |
| S2 | 598.90 | -8.91% |
| S3 | 556.60 | -15.34% |
AMBUJACEM Dividend Payout History
| # | Ex-Date | Pay Date | Amount | Yield | |
|---|---|---|---|---|---|
| 1 | Jun 14, 2024 | Jun 14, 2024 | Jul 26, 2024 | ₹2.00 | 0.304% |
| 2 | Jun 13, 2024 | Jun 13, 2024 | Jul 26, 2024 | ₹2.00 | 0.304% |
| 3 | Jul 07, 2023 | Jul 07, 2023 | Jul 07, 2023 | ₹2.50 | 0.598% |
| 4 | Jul 06, 2023 | Jul 06, 2023 | Jul 06, 2023 | ₹2.50 | 0.579% |
| 5 | Mar 30, 2022 | Mar 30, 2022 | Mar 30, 2022 | ₹6.30 | 2.08% |
FAQ
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