Evaluation of Farmer Brothers Company stock downgraded after the last trading session.
(Updated on Oct 03, 2023)
The Farmer Brothers Company stock price fell by -4.33% on the last day (Tuesday, 3rd Oct 2023) from $2.54 to $2.43. During the last trading day the stock fluctuated 6.33% from a day low at $2.40 to a day high of $2.55. The price has fallen in 6 of the last 10 days and is down by -11.96% for this period. Volume has increased on the last day by 777 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, 40 thousand shares were bought and sold for approximately $96.85 thousand.
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The stock lies the upper part of a very wide and falling 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 $2.62 will firstly indicate a slower falling rate, but may be the first sign of a trend shift. Given the current short-term trend, the stock is expected to fall -24.62% during the next 3 months and, with a 90% probability hold a price between $1.22 and $1.98 at the end of this 3-month period. Do note, that if the stock price manages to stay at current levels or higher, our prediction target will start to change positively over the next few days as the conditions for the current predictions will be broken.
FARM Signals & Forecast
The Farmer Brothers Company stock holds a sell signal from the short-term Moving Average; at the same time, however, there is a buy signal from the long-term average. Since the short-term average is above the long-term average there is a general buy signal in the stock giving a positive forecast for the stock. On further gains, the stock will meet resistance from the short-term Moving Average at approximately $2.48. On a fall, the stock will find some support from the long-term average at approximately $2.34. A break-up through the short-term average will send a buy signal, whereas a breakdown through the long-term average will send a sell signal. 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, September 19, 2023, and so far it has fallen -11.96%. Further fall is indicated until a new bottom pivot has been found. Farmer Brothers Company gained volume on the last day, but on falling prices. In technical terms, this is called divergence and may be an early warning. In some cases, increasing volume on falling prices may be considered positive, but that is mainly in typical "sell-offs". The very low volume increases the risk and reduces the other technical signals issued.
Support, Risk & Stop-loss for Farmer Brothers Company stock
Farmer Brothers Company finds support from accumulated volume at $2.42 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 $0.152 between high and low, or 6.33%. For the last week, the stock has had daily average volatility of 8.17%.
Our recommended stop-loss: We hold a negative evaluation for this stock. No stop-loss is set.
Trading Expectations (FARM) For The Upcoming Trading Day Of Wednesday 4th
For the upcoming trading day on Wednesday, 4th we expect Farmer Brothers Company to open at $2.46, and during the day (based on 14 day Average True Range), to move between $2.24 and $2.62, which gives a possible trading interval of +/-$0.189 (+/-7.77%) up or down from last closing price. If Farmer Brothers Company takes out the full calculated possible swing range there will be an estimated 15.54% move between the lowest and the highest trading price during the day.
Since the stock is closer to the support from accumulated volume at $2.42 (0.41%) than the resistance at $2.45 (0.82%), our systems sees the trading risk/reward intra-day as attractive and believe profit can be made before the stock reaches first resistance..
Is Farmer Brothers Company stock A Buy?
Farmer Brothers Company holds several negative signals and we believe that 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: -2.080 Open Broker AccountSell Candidate Downgraded
Predicted Opening Price for Farmer Brothers Company of Wednesday, October 4, 2023
The predicted opening price is based on yesterday's movements between high, low, and closing price.
|Fair opening price October 4, 2023||Current price|
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Fibonacci Support & Resistance Levels
Accumulated Volume Support & Resistance Levels
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About Farmer Brothers Company
Farmer Bros. Co. engages in the roasting, wholesale, equipment servicing, and distribution of coffee, tea, and culinary products in the United States. The company offers roast and ground coffee; frozen liquid coffee; flavoured and unflavoured iced and hot teas; culinary products, including spices, pancake and biscuit mixes, gravy and sauce mixes, soup bases, dressings, and syrups and sauces, as well as coffee filters, cups, sugar, and creamers; a... FARM Profile
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