Diageo plc Stock Forecast
Weaker technical forecast for Diageo plc as stock downgraded to Sell Candidate.
(Updated on Apr 25, 2024)
The Diageo plc stock price fell by -1.88% on the last day (Thursday, 25th Apr 2024) from £2,812.00 to £2,759.00. It has now fallen 3 days in a row. During the last trading day the stock fluctuated 2.65% from a day low at £2,740.25 to a day high of £2,813.00. The price has fallen in 6 of the last 10 days and is down by -1.64% for this period. Volume has increased on the last day by 4 million 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, 6 million shares were bought and sold for approximately £16.44 billion.
The stock lies in the lower of a falling trend in the short term, and this may normally pose a very good buying opportunity. If the lower trend floor at £2,732.20 is broken, it will firstly indicate a stronger fall rate. Given the current short-term trend, the stock is expected to fall -3.98% during the next 3 months and, with a 90% probability hold a price between £2,623.45 and £2,830.80 at the end of this 3-month period.
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DGE.L Signals & Forecast
A buy signal was issued from a pivot bottom point on Tuesday, April 16, 2024, and so far it has risen 0.473%. 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. The Diageo plc 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 £2,815.07 and £2,857.23. 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). 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 Diageo plc stock
Diageo plc finds support from accumulated volume at £2,746.00 and this level may hold a buying opportunity as an upwards reaction can be expected when the support is being tested.
This stock is usually traded at a good volume, and with minor daily changes, the risk is considered to be low. During the last day, the stock moved £72.75 (2.65%) between high and low. For the last week, the stock has had daily average volatility of 1.86%.
Our recommended stop-loss: We hold a negative evaluation for this stock. No stop-loss is set.
Trading Expectations (DGE.L) For The Upcoming Trading Day Of Friday 26th
For the upcoming trading day on Friday, 26th we expect Diageo plc to open at £2,770.75, and during the day (based on 14 day Average True Range), to move between £2,710.97 and £2,807.03, which gives a possible trading interval of +/-£48.03 (+/-1.74%) up or down from last closing price. If Diageo plc takes out the full calculated possible swing range there will be an estimated 3.48% move between the lowest and the highest trading price during the day.
Since the stock is closer to the support from accumulated volume at £2,746.00 (0.47%) than the resistance at £2,827.50 (2.48%), our systems sees the trading risk/reward intra-day as attractive and believe profit can be made before the stock reaches first resistance..
Is Diageo plc stock A Buy?
Diageo plc holds several negative signals and is within a 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. 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: -2.071 Sell Candidate Downgraded
Predicted Opening Price for Diageo plc of Friday, April 26, 2024
| Fair opening price April 26, 2024 | Current price |
|---|---|
| £2,770.75 ( 0.426%) | £2,759.00 |
The predicted opening price is based on yesterday's movements between high, low, and closing price.
Trading levels for DGE.L
Fibonacci Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 2,843.50 | 3.06 % | |
| R2 | 2,815.71 | 2.06 % | ||
| R1 | 2,798.54 | 1.43 % | ||
| Current price: | 2,759.00 | |||
| Support | S1 | 2,742.96 | -0.581 % | |
| S2 | 2,725.79 | -1.20 % | ||
| S3 | 2,698.00 | -2.21 % |
Accumulated Volume Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 2,938.00 | 6.49 % | |
| R2 | 2,907.00 | 5.36 % | ||
| R1 | 2,827.50 | 2.48 % | ||
| Current price | 2,759.00 | |||
| Support | S1 | 2,746.00 | -0.471% | |
| S2 | 0 | . | ||
| S3 | 0 | . |
DGE Dividend Payout History
| # | Ex-Date | Pay Date | Amount | Yield | |
|---|---|---|---|---|---|
| 1 | Feb 29, 2024 | Feb 29, 2024 | Apr 17, 2024 | £31.80 | 1.14% |
| 2 | Jan 26, 2023 | Mar 02, 2023 | Apr 13, 2023 | £30.83 | 0.84% |
| 3 | Jul 28, 2022 | Aug 25, 2022 | Oct 20, 2022 | £46.82 | 1.30% |
| 4 | Jan 27, 2022 | Feb 24, 2022 | Apr 07, 2022 | £29.36 | 0.735% |
| 5 | Jul 29, 2021 | Aug 26, 2021 | Oct 07, 2021 | £44.59 | 1.26% |
FAQ
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