Braskem S.A. Stock Forecast

Braskem S.A. stock downgraded from Hold/Accumulate to Sell Candidate after Friday trading session.
(Updated on May 03, 2024)

BRKM5.SA Signals & Forecast

Furthermore, there is a buy signal from the 3 month Moving Average Convergence Divergence (MACD). 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 Braskem S.A. stock holds a buy signal from the short-term Moving Average; at the same time, however, the long-term average holds a general sell signal. Since the longterm average is above the short-term average there is a general sell signal in the stock giving a more negative forecast for the stock. On further gains, the stock will meet resistance from the long-term Moving Average at R$24.09. On a fall, the stock will find some support from the short-term average at R$22.18. A break-up through the long-term average will give another buy signal, while a fall below the short-term average will add another sell signal and strengthen the general signal. A sell signal was issued from a pivot top point on Wednesday, March 27, 2024, and so far it has fallen -15.94%. Further fall is indicated until a new bottom pivot has been found.

Support, Risk & Stop-loss for Braskem S.A. stock

On the downside, the stock finds support just below today's level from accumulated volume at R$21.71 and R$19.37. There is a natural risk involved when a stock is testing a support level, since if this is broken, the stock then may fall to the next support level. In this case, Braskem S.A. finds support just below today's level at R$21.71. If this is broken, then the next support from accumulated volume will be at R$19.37 and R$19.25.

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 R$0.89 between high and low, or 4.02%. For the last week, the stock has had daily average volatility of 3.81%.

Our recommended stop-loss: We hold a negative evaluation for this stock. No stop-loss is set.

Trading Expectations (BRKM5.SA) For The Upcoming Trading Day Of Monday 6th

For the upcoming trading day on Monday, 6th we expect Braskem S.A. to open at R$22.75, and during the day (based on 14 day Average True Range), to move between R$22.24 and R$23.86, which gives a possible trading interval of +/-R$0.81 (+/-3.49%) up or down from last closing price. If Braskem S.A. takes out the full calculated possible swing range there will be an estimated 6.99% move between the lowest and the highest trading price during the day.

Since the stock is closer to the support from accumulated volume at R$21.71 (5.81%) than the resistance at R$26.76 (16.10%), our systems sees the trading risk/reward intra-day as attractive and believe profit can be made before the stock reaches first resistance..

Is Braskem S.A. stock A Buy?

Braskem S.A. holds several negative signals and we believe that it will still perform weakly in the next couple of days or weeks. We, therefore, hold a negative evaluation of this stock. Due to some small weaknesses in the technical picture we have downgraded our analysis conclusion for this stock since the last evaluation from a Hold/Accumulate to a Sell candidate.

Current score: -3.294 Sell Candidate Downgraded

Predicted Opening Price for Braskem S.A. of Monday, May 6, 2024

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