Eliem Therapeutics, Inc. 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
Volatile ride for Eliem Therapeutics, Inc. stock price on Tuesday moving between $8.44 and $10.34
(Updated on May 07, 2024)
The Eliem Therapeutics, Inc. stock price gained 17.92% on the last trading day (Tuesday, 7th May 2024), rising from $8.65 to $10.20. During the last trading day the stock fluctuated 22.51% from a day low at $8.44 to a day high of $10.34. The price has risen in 7 of the last 10 days and is up by 172% over the past 2 weeks. Volume fell on the last day by -116 thousand shares and in total, 288 thousand shares were bought and sold for approximately $2.94 million. 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 has broken the very wide and strong rising the short-term trend up and an even stronger rate of rising is indicated. For any reaction back there will now be support on the roof on the current trend broken at $5.86, a level that may pose a second chance to hit a runner.
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ELYM Signals & Forecast
Mostly positive signals in the chart today. The Eliem Therapeutics, Inc. 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 $8.15 and $4.29. A breakdown below any of these levels will issue sell signals. A buy signal was issued from a pivot bottom point on Thursday, April 25, 2024, and so far it has risen 200.88%. Further rise is indicated until a new top pivot has been found. Furthermore, there is a buy signal from the 3 month Moving Average Convergence Divergence (MACD). Volume fell during the last trading day despite gaining prices. This causes a divergence between volume and price and it may be an early warning. The stock should be watched closely.
Support, Risk & Stop-loss for Eliem Therapeutics, Inc. stock
Eliem Therapeutics, Inc. finds support from accumulated volume at $10.16 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 very much during the day (volatility) and with a very large prediction interval from the Bollinger Band this stock is considered to be "very high risk". During the last day, the stock moved $1.90 between high and low, or 22.51%. For the last week, the stock has had daily average volatility of 22.25%.
The Eliem Therapeutics, Inc. stock is extremely overbought on RSI14 (76). Normally this may pose a good selling opportunity but since the stock has broken the trend up, the chance for a major correction due to high RSI is very small as the stock will find support at the trend broken.
Our recommended stop-loss: $9.90 (-2.98%) (This stock has very high daily movements and this gives very high risk. The RSI14 is 76 and this increases the risk substantially. There is a buy signal from a pivot bottom found 8 days ago.)
Trading Expectations (ELYM) For The Upcoming Trading Day Of Wednesday 8th
For the upcoming trading day on Wednesday, 8th we expect Eliem Therapeutics, Inc. to open at $9.66, and during the day (based on 14 day Average True Range), to move between $9.16 and $11.24, which gives a possible trading interval of +/-$1.04 (+/-10.24%) up or down from last closing price. If Eliem Therapeutics, Inc. takes out the full calculated possible swing range there will be an estimated 20.49% move between the lowest and the highest trading price during the day.
With no resistance above and support from accumulated volume @ $10.16, some $0.0450 (0.44%) from the current price of $10.20, our system finds the risk reward attractive.
Earnings coming up
Eliem Therapeutics, Inc. will release earnings BMO on Thursday, May 09, 2024. We will update the financials statements for Eliem Therapeutics, Inc., that can be found here as soon as the records are public. Our systems has calculated a possible swing of +/- 6.82% in the first trading day after earnings release.
Is Eliem Therapeutics, Inc. stock A Buy?
Several short-term signals are positive and the stock has broke the rising trend up, which indicates an even stronger rate of rising. We conclude that the current level may hold a buying opportunity as there is a fair chance for Eliem Therapeutics, Inc. stock to perform well in the short-term period. We have upgraded our analysis conclusion for this stock since the last evaluation from a Buy to a Strong Buy candidate.
Current score: 5.656 Strong Buy Candidate Upgraded
Predicted Opening Price for Eliem Therapeutics, Inc. of Wednesday, May 8, 2024
| Fair opening price May 8, 2024 | Current price |
|---|---|
| $9.66 ( 5.29%) | $10.20 |
The predicted opening price is based on yesterday's movements between high, low, and closing price.
Trading levels for ELYM
Fibonacci Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 11.56 | 13.33 % | |
| R2 | 10.83 | 6.22 % | ||
| R1 | 10.39 | 1.82 % | ||
| Current price: | 10.20 | |||
| Support | S1 | 8.93 | -12.41 % | |
| S2 | 8.49 | -16.81 % | ||
| S3 | 7.76 | -23.92 % |
Accumulated Volume Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 0 | . | |
| R2 | 0 | . | ||
| R1 | 0 | . | ||
| Current price | 10.20 | |||
| Support | S1 | 10.16 | -0.441% | |
| S2 | 8.65 | -15.20% | ||
| S3 | 8.39 | -17.75% |
FAQ
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