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:

Bollinger Bottleneck Buy Pattern 1
Bollinger Bottleneck Buy Pattern 2
Bollinger Bottleneck Sell Pattern

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

RSI low/high Values: [ 25 - 75 ]
* StockInvest.us uses dynamically calculated RSI max/min levels to determine when stock is oversold or overbought based on historical behavior.
AI Analysis of CARA
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Big movements in Cara Therapeutics stock price on Thursday moving 12.94% between high and low
(Updated on Mar 28, 2024)

Buy candidate since Mar 27, 2024 Gain 4.72% PDF

The Cara Therapeutics stock price gained 4.72% on the last trading day (Thursday, 28th Mar 2024), rising from $0.87 to $0.91. During the last trading day the stock fluctuated 12.94% from a day low at $0.85 to a day high of $0.96. The price has been going up and down for this period, and there has been a 15.7% gain 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, 76 thousand more shares were traded than the day before. In total, 637 thousand shares were bought and sold for approximately $579.86 thousand.

The stock lies in the middle of a very wide and strong rising trend in the short term and a further rise within the trend is signaled. Given the current short-term trend, the stock is expected to rise 52.10% during the next 3 months and, with a 90% probability hold a price between $1.12 and $1.74 at the end of this 3-month period.

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CARA Signals & Forecast

The Cara Therapeutics stock holds buy signals from both short and long-term Moving Averages giving a positive forecast for the stock. Also, there is a general buy signal from the relation between the two signals where the short-term average is above the long-term average. On corrections down, there will be some support from the lines at $0.86 and $0.82. A breakdown below any of these levels will issue sell signals. A buy signal was issued from a pivot bottom point on Tuesday, March 26, 2024, and so far it has risen 24.62%. Further rise is indicated until a new top pivot has been found. Cara Therapeutics has increased volume and follows the last lift in the price. This is considered to be a technical positive sign as volume should follow the price-formation. Higher liquidity also reduces the general risk. 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).

Support, Risk & Stop-loss for Cara Therapeutics stock

Cara Therapeutics finds support from accumulated volume at $0.91 and this level may hold a buying opportunity as an upwards reaction can be expected when the support is being tested.

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 $0.110 between high and low, or 12.94%. For the last week, the stock has had daily average volatility of 13.17%.

Our recommended stop-loss: $0.87 (-4.10%) (This stock has high daily movements and this gives high risk. There is a buy signal from a pivot bottom found 2 days ago.)

Trading Expectations (CARA) For The Upcoming Trading Day Of Monday 1st

For the upcoming trading day on Monday, 1st we expect Cara Therapeutics to open at $0.91, and during the day (based on 14 day Average True Range), to move between $0.799 and $1.02, which gives a possible trading interval of +/-$0.111 (+/-12.24%) up or down from last closing price. If Cara Therapeutics takes out the full calculated possible swing range there will be an estimated 24.47% move between the lowest and the highest trading price during the day.

Since the stock is closer to the support from accumulated volume at $0.91 (0.32%) than the resistance at $0.95 (4.40%), our systems sees the trading risk/reward intra-day as attractive and believe profit can be made before the stock reaches first resistance..

Is Cara Therapeutics stock A Buy?

Several short-term signals, along with a general good trend, are positive and we conclude that the current level may hold a buying opportunity as there is a fair chance for Cara Therapeutics stock to perform well in the short-term.

Current score: 4.816 Buy Candidate Unchanged

Predicted Opening Price for Cara Therapeutics of Monday, April 1, 2024

Fair opening price April 1, 2024 Current price
$0.91 ( 0.366%) $0.91

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

Trading levels for CARA

Fibonacci Support & Resistance Levels

Level Price
Resistance R3 1.02 11.72 %
R2 0.97 7.10 %
R1 0.95 4.25 %
Current price: 0.91
Support S1 0.86 -4.98 %
S2 0.84 -7.84 %
S3 0.797 -12.45 %

Accumulated Volume Support & Resistance Levels

Level Price
Resistance R3 1.00 9.87 %
R2 0.98 7.85 %
R1 0.95 4.40 %
Current price 0.91
Support S1 0.91 -0.319%
S2 0.80 -11.97%
S3 0.743 -18.35%

FAQ

What is the symbol for Cara Therapeutics Stock and on which exchange is it traded?
The symbol for Cara Therapeutics is CARA and it is traded on the NASDAQ (NASDAQ Stock Exchange).

Should I buy or sell Cara Therapeutics Stock?
Several short-term signals, along with a general good trend, are positive and we conclude that the current level may hold a buying opportunity as there is a fair chance for Cara Therapeutics stock to perform well in the short-term.

How to buy Cara Therapeutics Stock?
Cara Therapeutics Stock can be purchased through just about any brokerage firm, including online brokerage services.
Click here for our free guide on how to buy Cara Therapeutics Stock.

What's the current price of Cara Therapeutics Stock?
As of the end of day on the 2024-03-28, the price of an Cara Therapeutics (CARA) share was $0.91.

What is the 52-week high and low for Cara Therapeutics Stock?
The 52-week high for Cara Therapeutics Stock is $5.20 and the 52-week low is $0.500.

What is the market capitalization of Cara Therapeutics Stock?
As of the 2024-03-28, the market capitalization of Cara Therapeutics is 47.496M.

When is the next earnings date for Cara Therapeutics?
The upcoming earnings date for Cara Therapeutics is May 20, 2024.
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About Cara Therapeutics

Cara Therapeutics Cara Therapeutics, Inc., an early commercial-stage biopharmaceutical company, focuses on developing and commercializing chemical entities with a primary focus on pruritus and pain by selectively targeting kappa opioid receptors in the United States. The company is developing product candidates that target the body's peripheral nervous system and immune cells. The company's lead product is KORSUVA (difelikefalin) injection for the treatment of mod... CARA Profile

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