American Well Corporation 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
High volatility in American Well Corporation stock price on Tuesday which ended trading at $0.295
(Updated on Jul 02, 2024)
The American Well Corporation stock price gained 18.00% on the last trading day (Tuesday, 2nd Jul 2024), rising from $0.250 to $0.295. During the last trading day the stock fluctuated 38.65% from a day low at $0.260 to a day high of $0.361. The price has been going up and down for this period, and there has been a -25.03% loss for the last 2 weeks. Volume has increased on the last day along with the price, which is a positive technical sign, and, in total, 9 million more shares were traded than the day before. In total, 15 million shares were bought and sold for approximately $4.46 million.
The stock lies in the middle of a very 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 -42.72% during the next 3 months and, with a 90% probability hold a price between $0.140 and $0.265 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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AMWL Signals & Forecast
A buy signal was issued from a pivot bottom point on Monday, July 01, 2024, and so far it has risen 18.00%. Further rise is indicated until a new top pivot has been found. Volume is rising along with the price. This is considered to be a good technical signal. Some negative signals were issued as well, and these may have some influence on the near short-term development. The American Well Corporation stock holds sell signals from both short and long-term Moving Averages giving a more negative forecast for the stock. Also, there is a general sell signal from the relation between the two signals where the long-term average is above the short-term average. On corrections up, there will be some resistance from the lines at $0.346 and $0.412. A break-up above any of these levels will issue buy signals. Furthermore, there is currently a sell signal from the 3 month Moving Average Convergence Divergence (MACD).
Support, Risk & Stop-loss for American Well Corporation stock
On the downside, the stock finds support just below today's level from accumulated volume at $0.250. With no support from accumulated volume below today's level the risk is increased, as a drop below the support at $ may give a huge drop in the stock price.
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 $0.101 between high and low, or 38.65%. For the last week, the stock has had daily average volatility of 20.31%.
Our recommended stop-loss: We hold a negative evaluation for this stock. No stop-loss is set.
Trading Expectations (AMWL) For The Upcoming Trading Day Of Wednesday 3rd
For the upcoming trading day on Wednesday, 3rd we expect American Well Corporation to open at $0.305, and during the day (based on 14 day Average True Range), to move between $0.246 and $0.344, which gives a possible trading interval of +/-$0.0494 (+/-16.74%) up or down from last closing price. If American Well Corporation takes out the full calculated possible swing range there will be an estimated 33.49% move between the lowest and the highest trading price during the day.
Since the stock is closer to the resistance from accumulated volume at $0.325 (10.10%) than the support at $0.250 (15.25%), 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 American Well Corporation stock A Buy?
American Well Corporation holds several negative signals and is within a very wide and falling trend, so we believe it will still perform weakly in the next couple of days or weeks. We therefore hold a negative evaluation of this stock. We have upgraded our analysis conclusion for this stock since the last evaluation from a Strong Sell to a Sell candidate.
Current score: -3.817 Sell Candidate Upgraded
Predicted Opening Price for American Well Corporation of Wednesday, July 3, 2024
| Fair opening price July 3, 2024 | Current price |
|---|---|
| $0.305 ( 3.45%) | $0.295 |
The predicted opening price is based on yesterday's movements between high, low, and closing price.
Trading levels for AMWL
Fibonacci Support & Resistance Levels
| Level | Price | |
|---|---|---|
| R3 | 0.406 | 37.51% |
| R2 | 0.367 | 24.50% |
| R1 | 0.344 | 16.46% |
| Price | 0.295 | |
| S1 | 0.267 | -9.57% |
| S2 | 0.243 | -17.61% |
| S3 | 0.205 | -30.62% |
Accumulated Volume Support & Resistance Levels
| Level | Price | |
|---|---|---|
| R3 | 0.368 | 24.68% |
| R2 | 0.363 | 23.08% |
| R1 | 0.325 | 10.10% |
| Price | 0.295 | |
| S1 | 0.250 | -15.25% |
| S2 | 0 | - |
| S3 | 0 | - |
FAQ
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