Eutelsat Communications S.A. Stock Forecast

Eutelsat Communications S.A. stock downgraded from Strong Buy Candidate to Buy Candidate after Wednesday trading session.
(Updated on May 22, 2024)

ETCMY Signals & Forecast

The Eutelsat Communications S.A. 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 $1.14 and $1.05. A breakdown below any of these levels will issue sell signals. Furthermore, there is a buy signal from the 3 month Moving Average Convergence Divergence (MACD). Some negative signals were issued as well, and these may have some influence on the near short-term development. A sell signal was issued from a pivot top point on Tuesday, May 21, 2024, and so far it has fallen 0%. Further fall is indicated until a new bottom pivot has been found. Volume fell on the last day without any changes to the price. This does not cause any direct divergence but may be an early warning and a possible "turning point". The very low volume increases the risk and reduces the other technical signals issued.

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

On the downside, the stock finds support just below today's level from accumulated volume at $1.05 and $1.04. 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, Eutelsat Communications S.A. finds support just below today's level at $1.05. If this is broken, then the next support from accumulated volume will be at $1.04 and $1.01.

In general the stock tends to have very controlled movements and therefore the general risk is considered very low. However, be aware of low or falling volume and make sure to keep an eye on the stock During the last day, the stock moved $0 between high and low, or 0%. For the last week the stock has had daily average volatility of 4.52%

The Eutelsat Communications S.A. stock is overbought on RSI14 and lies in the upper part of the trend. Normally this may pose a good selling opportunity for the short-term trader, but some stocks may go long and hard while being overbought. Regardless, the high RSI together with the trend position increases the risk and higher daily movements (volatility) should be expected. A correction down in the nearby future seems very likely and it is of great importance that the stock manages to break the trend before that occurs.

Our recommended stop-loss: $1.16 (-3.34%) (This stock has low daily movements and this gives low risk. The RSI14 is 83 and this increases the risk substantially. There is a sell signal from a pivot top found 6 days ago.)

Trading Expectations (ETCMY) For The Upcoming Trading Day Of Thursday 23rd

For the upcoming trading day on Thursday, 23rd we expect Eutelsat Communications S.A. to open at $1.20, and during the day (based on 14 day Average True Range), to move between $1.16 and $1.24, which gives a possible trading interval of +/-$0.0408 (+/-3.40%) up or down from last closing price. If Eutelsat Communications S.A. takes out the full calculated possible swing range there will be an estimated 6.81% move between the lowest and the highest trading price during the day.

With no resistance above and support from accumulated volume @ $1.05, some $0.148 (12.35%) from the current price of $1.20, our system finds the risk reward attractive.

Is Eutelsat Communications S.A. 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 Eutelsat Communications S.A. stock to perform well in the short-term. Due to some small weaknesses in the technical picture we have downgraded our analysis conclusion for this stock since the last evaluation from a Strong Buy to a Buy candidate.

Current score: 1.526 Buy Candidate Downgraded

Predicted Opening Price for Eutelsat Communications S.A. of Thursday, May 23, 2024

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