Gem Diamonds Ltd Stock Forecast
Gem Diamonds Ltd stock upgraded from Sell Candidate to Hold/Accumulate after Wednesday trading session.
(Updated on Apr 24, 2024)
The Gem Diamonds Ltd stock price gained 2.91% on the last trading day (Wednesday, 24th Apr 2024), rising from £8.26 to £8.50. During the last trading day the stock fluctuated 9.00% from a day low at £8.22 to a day high of £8.96. The price has fallen in 6 of the last 10 days and is down by -4.39% for this period. Volume has increased on the last day along with the price, which is a positive technical sign, and, in total, 113 thousand more shares were traded than the day before. In total, 373 thousand shares were bought and sold for approximately £3.17 million.
The stock lies in the middle of a wide and falling trend in the short term and further fall within the trend is signaled. Given the current short-term trend, the stock is expected to fall -18.36% during the next 3 months and, with a 90% probability hold a price between £6.72 and £7.55 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.
Ready to grow your portfolio? Here's your beginner's guide to opening a free brokerage account.
GEMD.L Signals & Forecast
There are mixed signals in the stock today. The Gem Diamonds Ltd 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 £8.62 and £9.09. A break-up above any of these levels will issue buy signals. A buy signal was issued from a pivot bottom point on Tuesday, April 23, 2024, and so far it has risen 2.91%. 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 is rising along with the price. This is considered to be a good technical signal.
Support, Risk & Stop-loss for Gem Diamonds Ltd stock
Gem Diamonds Ltd finds support from accumulated volume at £8.26 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 £0.740 (9.00%) between high and low. For the last week, the stock has had daily average volatility of 6.49%.
Our recommended stop-loss: £8.07 (-5.02%) (This stock has low daily movements and this gives low risk. There is a buy signal from a pivot bottom found 1 day ago.)
Trading Expectations (GEMD.L) For The Upcoming Trading Day Of Thursday 25th
For the upcoming trading day on Thursday, 25th we expect Gem Diamonds Ltd to open at £8.56, and during the day (based on 14 day Average True Range), to move between £7.97 and £9.03, which gives a possible trading interval of +/-£0.527 (+/-6.20%) up or down from last closing price. If Gem Diamonds Ltd takes out the full calculated possible swing range there will be an estimated 12.40% move between the lowest and the highest trading price during the day.
Since the stock is closer to the resistance from accumulated volume at £8.60 (1.18%) than the support at £8.26 (2.82%), our systems don't find the trading risk/reward intra-day attractive and any bets should be held until the stock is closer to the support level.
Is Gem Diamonds Ltd stock A Buy?
Gem Diamonds Ltd holds several positive signals, but we still don't find these to be enough for a buy candidate. At the current level, it should be considered as a hold candidate (hold or accumulate) in this position whilst awaiting further development. We have upgraded our analysis conclusion for this stock since the last evaluation from a Sell to a Hold/Accumulate candidate.
Current score: -0.477 Hold/Accumulate Upgraded
Predicted Opening Price for Gem Diamonds Ltd of Thursday, April 25, 2024
| Fair opening price April 25, 2024 | Current price |
|---|---|
| £8.56 ( 0.706%) | £8.50 |
The predicted opening price is based on yesterday's movements between high, low, and closing price.
Trading levels for GEMD.L
Fibonacci Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 9.30 | 9.41 % | |
| R2 | 9.02 | 6.09 % | ||
| R1 | 8.84 | 4.03 % | ||
| Current price: | 8.50 | |||
| Support | S1 | 8.28 | -2.62 % | |
| S2 | 8.10 | -4.67 % | ||
| S3 | 7.82 | -8.00 % |
Accumulated Volume Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 9.69 | 13.94 % | |
| R2 | 9.00 | 5.88 % | ||
| R1 | 8.60 | 1.18 % | ||
| Current price | 8.50 | |||
| Support | S1 | 8.26 | -2.82% | |
| S2 | 0 | . | ||
| S3 | 0 | . |
GEMD Dividend Payout History
| # | Ex-Date | Pay Date | Amount | Yield | |
|---|---|---|---|---|---|
| 1 | Mar 17, 2022 | May 19, 2022 | Jun 21, 2022 | £2.70 | 5.63% |
| 2 | Mar 11, 2021 | May 13, 2021 | Jun 15, 2021 | £2.50 | 3.43% |
| 3 | Mar 15, 2016 | May 12, 2016 | Jun 14, 2016 | £3.50 | 2.54% |
| 4 | Mar 17, 2015 | May 07, 2015 | Jun 09, 2015 | £5.00 | 3.28% |
FAQ
Click here for our free guide on how to buy Gem Diamonds Ltd Stock.
