Ausom Enterprise 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 Ausom Enterprise Limited as stock downgraded to Hold/Accumulate.
(Updated on May 03, 2024)
The Ausom Enterprise Limited stock price fell by -2.97% on the last day (Friday, 3rd May 2024) from ₹94.02 to ₹91.23. During the last trading day the stock fluctuated 6.31% from a day low at ₹90.30 to a day high of ₹96.00. The price has fallen in 7 of the last 10 days but is still up by 0.34% over the past 2 weeks. Volume has increased on the last day by 1 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, 3 thousand shares were bought and sold for approximately ₹275.79 thousand.
The stock is moving within a very wide and horizontal trend and further movements within this trend can be expected. Given the current horizontal trend, you can expect Ausom Enterprise Limited stock with a 90% probability to be traded between ₹72.87 and ₹101.35 at the end of this 3-month period. A break of a horizontal trend is often followed by a large increase in the volume, and stocks seldom manage to go directly from the bottom of a trend up to the top. Stocks turning up in the middle of a horizontal trend are therefore considered to be potential runners.
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AUSOMENT.BO Signals & Forecast
The Ausom Enterprise 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 ₹93.66. On a fall, the stock will find some support from the long-term average at approximately ₹90.08. 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. A buy signal was issued from a pivot bottom point on Monday, April 22, 2024, and so far it has risen 3.22%. Further rise is indicated until a new top pivot has been found. Some negative signals were issued as well, and these may have some influence on the near short-term development. Furthermore, there is currently a sell signal from the 3 month Moving Average Convergence Divergence (MACD). Ausom Enterprise Limited gained volume on the last day, but on falling prices. In technical terms, this is called divergence and may be an early warning. In some cases, increasing volume on falling prices may be considered positive, but that is mainly in typical "sell-offs".
Support, Risk & Stop-loss for Ausom Enterprise Limited stock
Ausom Enterprise Limited finds support from accumulated volume at ₹90.92 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 ₹5.70 between high and low, or 6.31%. For the last week, the stock has had daily average volatility of 6.14%.
Our recommended stop-loss: ₹87.23 (-4.39%) (This stock has medium daily movements and this gives medium risk. There is a buy signal from a pivot bottom found 8 days ago.)
Trading Expectations (AUSOMENT.BO) For The Upcoming Trading Day Of Monday 6th
For the upcoming trading day on Monday, 6th we expect Ausom Enterprise Limited to open at ₹92.51, and during the day (based on 14 day Average True Range), to move between ₹84.74 and ₹97.72, which gives a possible trading interval of +/-₹6.49 (+/-7.11%) up or down from last closing price. If Ausom Enterprise Limited takes out the full calculated possible swing range there will be an estimated 14.22% move between the lowest and the highest trading price during the day.
Since the stock is closer to the support from accumulated volume at ₹90.92 (0.34%) than the resistance at ₹94.26 (3.32%), our systems sees the trading risk/reward intra-day as attractive and believe profit can be made before the stock reaches first resistance..
Is Ausom Enterprise Limited stock A Buy?
Ausom Enterprise 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: 0.136 Hold/Accumulate Downgraded
Predicted Opening Price for Ausom Enterprise Limited of Monday, May 6, 2024
| Fair opening price May 6, 2024 | Current price |
|---|---|
| ₹92.51 ( 1.40%) | ₹91.23 |
The predicted opening price is based on yesterday's movements between high, low, and closing price.
Trading levels for AUSOMENT.BO
Fibonacci Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 98.21 | 7.65 % | |
| R2 | 96.03 | 5.26 % | ||
| R1 | 94.69 | 3.79 % | ||
| Current price: | 91.23 | |||
| Support | S1 | 90.33 | -0.98 % | |
| S2 | 88.99 | -2.46 % | ||
| S3 | 86.81 | -4.84 % |
Accumulated Volume Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 101.38 | 11.13 % | |
| R2 | 97.25 | 6.60 % | ||
| R1 | 94.26 | 3.32 % | ||
| Current price | 91.23 | |||
| Support | S1 | 90.92 | -0.340% | |
| S2 | 87.82 | -3.74% | ||
| S3 | 85.00 | -6.83% |
AUSOMENT Dividend Payout History
| # | Ex-Date | Pay Date | Amount | Yield | |
|---|---|---|---|---|---|
| 1 | Sep 22, 2023 | Sep 22, 2023 | Oct 29, 2023 | ₹0.500 | 0.718% |
| 2 | Sep 21, 2022 | Sep 21, 2022 | Oct 29, 2022 | ₹1.00 | 1.44% |
FAQ
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