MPL Plastics 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
Red day on Friday for MPL Plastics Limited stock after losing 0.363%
(Updated on Jun 21, 2024)
The MPL Plastics Limited stock price fell by -0.363% on the last day (Friday, 21st Jun 2024) from ₹16.52 to ₹16.46. During the last trading day the stock fluctuated 6.12% from a day low at ₹16.02 to a day high of ₹17.00. The price has fallen in 6 of the last 10 days but is still up by 1.92% 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 -24 thousand shares and in total, 7 thousand shares were bought and sold for approximately ₹115.68 thousand.
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 -2.75% during the next 3 months and, with a 90% probability hold a price between ₹14.48 and ₹16.82 at the end of this 3-month period.
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MPL.BO Signals & Forecast
The MPL Plastics 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 ₹16.33 and ₹15.94. 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, June 18, 2024, and so far it has fallen -1.97%. Further fall is indicated until a new bottom pivot has been found. 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 MPL Plastics Limited stock
MPL Plastics Limited finds support from accumulated volume at ₹16.20 and this level may hold a buying opportunity as an upwards reaction can be expected when the support is being tested.
In general the stock tends to have controlled movements and therefore the general risk is considered 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 ₹0.98 between high and low, or 6.12%. For the last week the stock has had daily average volatility of 7.12%.
Our recommended stop-loss: ₹15.75 (-4.29%) (This stock has low daily movements and this gives low risk. There is a sell signal from a pivot top found 12 days ago.)
Trading Expectations (MPL.BO) For The Upcoming Trading Day Of Monday 24th
For the upcoming trading day on Monday, 24th we expect MPL Plastics Limited to open at ₹16.49, and during the day (based on 14 day Average True Range), to move between ₹15.32 and ₹17.60, which gives a possible trading interval of +/-₹1.14 (+/-6.92%) up or down from last closing price. If MPL Plastics Limited takes out the full calculated possible swing range there will be an estimated 13.84% move between the lowest and the highest trading price during the day.
Since the stock is closer to the resistance from accumulated volume at ₹16.52 (0.36%) than the support at ₹16.20 (1.58%), 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 MPL Plastics Limited stock A Buy?
Several short-term signals are positive, despite the stock being in a falling trend, we conclude that the current level may hold a buying opportunity as there is a fair chance for stock to perform well in the short-term.
Current score: 1.891 Buy Candidate Unchanged
Predicted Opening Price for MPL Plastics Limited of Monday, June 24, 2024
| Fair opening price June 24, 2024 | Current price |
|---|---|
| ₹16.49 ( 0.203%) | ₹16.46 |
The predicted opening price is based on yesterday's movements between high, low, and closing price.
Trading levels for MPL.BO
Fibonacci Support & Resistance Levels
| Level | Price | |
|---|---|---|
| R3 | 17.47 | 6.16% |
| R2 | 17.10 | 3.88% |
| R1 | 16.87 | 2.48% |
| Price | 16.46 | |
| S1 | 16.12 | -2.07% |
| S2 | 15.89 | -3.48% |
| S3 | 15.51 | -5.75% |
Accumulated Volume Support & Resistance Levels
| Level | Price | |
|---|---|---|
| R3 | 17.38 | 5.59% |
| R2 | 16.79 | 2.00% |
| R1 | 16.52 | 0.365% |
| Price | 16.46 | |
| S1 | 16.20 | -1.58% |
| S2 | 15.91 | -3.34% |
| S3 | 15.68 | -4.74% |
FAQ
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