DouYu International Holdings Limited Stock Forecast
DouYu International Holdings Limited stock upgraded from Hold/Accumulate to Buy Candidate after Friday trading session.
(Updated on Apr 19, 2024)
The DouYu International Holdings Limited stock price gained 0.374% on the last trading day (Friday, 19th Apr 2024), rising from $8.03 to $8.06. It has now gained 7 days in a row. It is not often that stocks manage to gain so many days in a row, and falls for a day or two should be expected. During the last trading day the stock fluctuated 3.52% from a day low at $7.92 to a day high of $8.20. The price has risen in 7 of the last 10 days and is up by 2.94% over the past 2 weeks. Volume fell on the last day by -44 thousand shares and in total, 63 thousand shares were bought and sold for approximately $504.01 thousand. You should take into consideration that falling volume on higher prices causes divergence and may be an early warning about possible changes over the next couple of days.
The stock lies in the upper part of a very wide and strong rising trend in the short term, and this may normally pose a very good selling opportunity for the short-term trader as reaction back towards the lower part of the trend can be expected. A break-up at the top trend line at $8.21 will firstly indicate a stronger rate of rising. Given the current short-term trend, the stock is expected to rise 15X during the next 3 months and, with a 90% probability hold a price between $58.01 and $130.22 at the end of this 3-month period.
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DOYU Signals & Forecast
The DouYu International Holdings Limited 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 $7.80 and $3.88. A breakdown below any of these levels will issue sell signals. A buy signal was issued from a pivot bottom point on Friday, March 15, 2024, and so far it has risen 1,085.29%. 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). Volume fell during the last trading day while the price increased. This causes a divergence and may be considered as an early warning, but it may also not.
Support, Risk & Stop-loss for DouYu International Holdings Limited stock
On the downside, the stock finds support just below today's level from accumulated volume at $7.49 and $7.38. 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, DouYu International Holdings Limited finds support just below today's level at $7.49. If this is broken, then the next support from accumulated volume will be at $7.38 and $6.59.
This stock may move very much during the day (volatility) and with periodic low trading volume this stock is considered to be "very high risk". During the last day, the stock moved $0.279 between high and low, or 3.52%. For the last week the stock has had daily average volatility of 4.06%.
Since the DouYu International Holdings Limited has been rising for 7 days in a row, the risk over the next couple of days has increased. We don't expect a major reaction as the stock is in very good shape technically, and therefore hold a positive evaluation despite the very short term risk.
Our recommended stop-loss: $7.81 (-3.14%) (This stock has very high daily movements and this gives very high risk. There is a buy signal from a pivot bottom found 24 days ago.)
Trading Expectations (DOYU) For The Upcoming Trading Day Of Monday 22nd
For the upcoming trading day on Monday, 22nd we expect DouYu International Holdings Limited to open at $8.06, and during the day (based on 14 day Average True Range), to move between $7.66 and $8.46, which gives a possible trading interval of +/-$0.396 (+/-4.91%) up or down from last closing price. If DouYu International Holdings Limited takes out the full calculated possible swing range there will be an estimated 9.82% move between the lowest and the highest trading price during the day.
With no resistance above and support from accumulated volume @ $7.49, some $0.570 (7.07%) from the current price of $8.06, our system finds the risk reward attractive.
Is DouYu International Holdings Limited 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 DouYu International Holdings Limited stock to perform well in the short-term. We have upgraded our analysis conclusion for this stock since the last evaluation from a Hold/Accumulate to a Buy candidate.
Current score: 4.077 Buy Candidate Upgraded
Predicted Opening Price for DouYu International Holdings Limited of Monday, April 22, 2024
| Fair opening price April 22, 2024 | Current price |
|---|---|
| $8.06 ( 0.0037%) | $8.06 |
The predicted opening price is based on yesterday's movements between high, low, and closing price.
Trading levels for DOYU
Fibonacci Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 8.34 | 3.46 % | |
| R2 | 8.23 | 2.14 % | ||
| R1 | 8.17 | 1.32 % | ||
| Current price: | 8.06 | |||
| Support | S1 | 7.95 | -1.33 % | |
| S2 | 7.89 | -2.14 % | ||
| S3 | 7.78 | -3.47 % |
Accumulated Volume Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 0 | . | |
| R2 | 0 | . | ||
| R1 | 0 | . | ||
| Current price | 8.06 | |||
| Support | S1 | 7.49 | -7.07% | |
| S2 | 7.38 | -8.44% | ||
| S3 | 6.59 | -18.24% |
FAQ
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