The Lion Electric Company Stock Forecast
The Lion Electric Company stock downgraded to Sell Candidate
(Updated on May 07, 2024)
The The Lion Electric Company stock price fell by -1.89% on the last day (Tuesday, 7th May 2024) from $1.06 to $1.04. During the last trading day the stock fluctuated 7.99% from a day low at $1.00 to a day high of $1.08. The price has risen in 6 of the last 10 days and is up by 11.48% over the past 2 weeks. Volume fell on the last day along with the stock, which is actually a good sign as volume should follow the stock. On the last day, the trading volume fell by -216 thousand shares and in total, 472 thousand shares were bought and sold for approximately $490.83 thousand.
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 $1.07 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 -44.48% during the next 3 months and, with a 90% probability hold a price between $0.461 and $0.597 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.
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LEV Signals & Forecast
A buy signal was issued from a pivot bottom point on Tuesday, April 30, 2024, and so far it has risen 15.56%. 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). Some negative signals were issued as well, and these may have some influence on the near short-term development. The The Lion Electric Company stock holds a buy signal from the short-term Moving Average; at the same time, however, the long-term average holds a general sell signal. Since the longterm average is above the short-term average there is a general sell signal in the stock giving a more negative forecast for the stock. On further gains, the stock will meet resistance from the long-term Moving Average at $1.16. On a fall, the stock will find some support from the short-term average at $0.98. A break-up through the long-term average will give another buy signal, while a fall below the short-term average will add another sell signal and strengthen the general signal. Volume fell along with the price during the last trading day, which is technical positive. One should, however, note that this stock may have low liquidity in periods, which increases the general risk.
Support, Risk & Stop-loss for The Lion Electric Company stock
On the downside, the stock finds support just below today's level from accumulated volume at $0.97 and $0.95. 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, The Lion Electric Company finds support just below today's level at $0.97. If this is broken, then the next support from accumulated volume will be at $0.95 and $0.93.
This stock may move very much during the day (volatility) and with periodic low trading volume this stock is considered to be "very high risk". During the last day, the stock moved $0.0799 between high and low, or 7.99%. For the last week the stock has had daily average volatility of 6.90%.
Our recommended stop-loss: We hold a negative evaluation for this stock. No stop-loss is set.
Trading Expectations (LEV) For The Upcoming Trading Day Of Wednesday 8th
For the upcoming trading day on Wednesday, 8th we expect The Lion Electric Company to open at $1.04, and during the day (based on 14 day Average True Range), to move between $0.97 and $1.11, which gives a possible trading interval of +/-$0.0691 (+/-6.65%) up or down from last closing price. If The Lion Electric Company takes out the full calculated possible swing range there will be an estimated 13.29% move between the lowest and the highest trading price during the day.
Since the stock is closer to the support from accumulated volume at $0.97 (7.21%) than the resistance at $1.20 (15.38%), our systems sees the trading risk/reward intra-day as attractive and believe profit can be made before the stock reaches first resistance..
Earnings coming up
The Lion Electric Company will release earnings BMO on Wednesday, May 08, 2024.The consensus among the analysts for the expected earnings (EPS) is -$0.0700. We will update the financials statements for The Lion Electric Company, that can be found here as soon as the records are public. Our systems has calculated a possible swing of +/- 9.11% in the first trading day after earnings release.
Is The Lion Electric Company stock A Buy?
The Lion Electric 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: -2.510 Sell Candidate Downgraded
Predicted Opening Price for The Lion Electric Company of Wednesday, May 8, 2024
| Fair opening price May 8, 2024 | Current price |
|---|---|
| $1.04 ( 0.0032%) | $1.04 |
The predicted opening price is based on yesterday's movements between high, low, and closing price.
Trading levels for LEV
Fibonacci Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 1.12 | 7.69 % | |
| R2 | 1.09 | 4.75 % | ||
| R1 | 1.07 | 2.94 % | ||
| Current price: | 1.04 | |||
| Support | S1 | 1.01 | -2.93 % | |
| S2 | 0.99 | -4.74 % | ||
| S3 | 0.96 | -7.68 % |
Accumulated Volume Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 1.25 | 20.19 % | |
| R2 | 1.21 | 16.35 % | ||
| R1 | 1.20 | 15.38 % | ||
| Current price | 1.04 | |||
| Support | S1 | 0.97 | -7.21% | |
| S2 | 0.95 | -8.65% | ||
| S3 | 0.93 | -10.30% |
FAQ
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