Goenka Diamond and Jewels Limited 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
High volatility in Goenka Diamond and Jewels Limited stock price on Thursday which ended trading at ₹1.11
(Updated on Jul 04, 2024)
The Goenka Diamond and Jewels Limited stock price gained 4.72% on the last trading day (Thursday, 4th Jul 2024), rising from ₹1.06 to ₹1.11. It has now gained 6 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 11.00% from a day low at ₹1.00 to a day high of ₹1.11. The price has risen in 7 of the last 10 days and is up by 26.14% over the past 2 weeks. Volume has increased on the last day along with the price, which is a positive technical sign, and, in total, 2 million more shares were traded than the day before. In total, 2 million shares were bought and sold for approximately ₹1.81 million.
The stock has broken the very wide and horizontal trend up. Breaks like this are often followed by swift and strong movements, and any correction down to the breakline at approximately. ₹0.98 is considered to be a "second chance" to hit a potential runner. It is, however, important that volume does follow the price as false breaks may appear and it may move back into the horizontal trend. Based on the rectangle-formation theory the stock is predicted to reach ₹1.20 sometime during the next 3 months.
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GOENKA.NS Signals & Forecast
The Goenka Diamond and Jewels 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 ₹0.98 and ₹0.87. A breakdown below any of these levels will issue sell signals. A buy signal was issued from a pivot bottom point on Tuesday, June 04, 2024, and so far it has risen 38.75%. 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.
A buy signal from a double bottom formation was found on Wednesday, May 22, 2024 with a target of ₹0.82. Despite whether the objective of the signal formation has been reached the stock may continue to perform well.
Support, Risk & Stop-loss for Goenka Diamond and Jewels Limited stock
On the downside, the stock finds support just below today's level from accumulated volume at ₹0.93 and ₹0.90. 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, Goenka Diamond and Jewels Limited finds support just below today's level at ₹0.93. If this is broken, then the next support from accumulated volume will be at ₹0.90 and ₹0.85.
This stock may move much during the day (volatility) and with a large prediction interval from the Bollinger Band this stock is considered to be "high risk". During the last day, the stock moved ₹0.110 between high and low, or 11.00%. For the last week, the stock has had daily average volatility of 4.53%.
The Goenka Diamond and Jewels Limited stock is extremely overbought on RSI14 (88). 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. Since the Goenka Diamond and Jewels Limited has been rising for 6 days in a row, the risk over the next couple of days has increased. As we cannot be certain with regards to the size of the reaction, we urge caution.
Our recommended stop-loss: ₹1.07 (-3.24%) (This stock has high daily movements and this gives high risk. The RSI14 is 88 and this increases the risk substantially. There is a buy signal from a pivot bottom found 23 days ago.)
Trading Expectations (GOENKA.NS) For The Upcoming Trading Day Of Friday 5th
For the upcoming trading day on Friday, 5th we expect Goenka Diamond and Jewels Limited to open at ₹1.07, and during the day (based on 14 day Average True Range), to move between ₹1.06 and ₹1.16, which gives a possible trading interval of +/-₹0.0546 (+/-4.92%) up or down from last closing price. If Goenka Diamond and Jewels Limited takes out the full calculated possible swing range there will be an estimated 9.83% move between the lowest and the highest trading price during the day.
With no resistance above and support from accumulated volume @ ₹0.93, some ₹0.180 (16.22%) from the current price of ₹1.11, our system finds the risk reward attractive.
Is Goenka Diamond and Jewels Limited stock A Buy?
Goenka Diamond and Jewels Limited 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.
Current score: 0.000 Hold/Accumulate Unchanged
Zero in score indicates that our system is expecting high volatility and risk for the following trading day. Given the latest developments, we cannot determine the next direction as it may go both ways.
Predicted Opening Price for Goenka Diamond and Jewels Limited of Friday, July 5, 2024
| Fair opening price July 5, 2024 | Current price |
|---|---|
| ₹1.07 ( 3.30%) | ₹1.11 |
The predicted opening price is based on yesterday's movements between high, low, and closing price.
Trading levels for GOENKA.NS
Fibonacci Support & Resistance Levels
| Level | Price | |
|---|---|---|
| R3 | 1.18 | 6.61% |
| R2 | 1.14 | 2.82% |
| R1 | 1.12 | 0.482% |
| Price | 1.11 | |
| S1 | 1.03 | -7.09% |
| S2 | 1.01 | -9.43% |
| S3 | 0.96 | -13.21% |
Accumulated Volume Support & Resistance Levels
| Level | Price | |
|---|---|---|
| R3 | 0 | - |
| R2 | 0 | - |
| R1 | 0 | - |
| Price | 1.11 | |
| S1 | 0.93 | -16.22% |
| S2 | 0.90 | -18.92% |
| S3 | 0.85 | -23.42% |
GOENKA Dividend Payout History
| # | Ex-Date | Pay Date | Amount | Yield | |
|---|---|---|---|---|---|
| 1 | May 11, 2013 | Sep 18, 2013 | Oct 27, 2013 | ₹0.100 | 0.565% |
| 2 | May 29, 2012 | Sep 17, 2012 | Oct 27, 2012 | ₹0.100 | 0.347% |
| 3 | May 24, 2011 | Sep 21, 2011 | Oct 30, 2011 | ₹0.100 | 2.67% |
| 4 | May 27, 2010 | Sep 16, 2010 | Oct 25, 2010 | ₹0.100 | 1.00% |
FAQ
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