Root Inc Stock Forecast
Volatile ride for Root Inc stock price on Thursday moving between $55.56 and $62.99
(Updated on Apr 25, 2024)
The Root Inc stock price gained 4.40% on the last trading day (Thursday, 25th Apr 2024), rising from $60.02 to $62.66. It has now gained 5 days in a row. It will be exciting to see whether it manages to continue gaining or take a minor break for the next few days. During the last trading day the stock fluctuated 13.37% from a day low at $55.56 to a day high of $62.99. The price has risen in 6 of the last 10 days but is still down by -4.63% for this period. Volume fell on the last day by -244 thousand shares and in total, 230 thousand shares were bought and sold for approximately $14.40 million. You should take into consideration that falling volume on higher prices causes divergence and may be an early warning about possible changes over the next couple of days.
The stock lies in the lower part of a very wide and strong rising trend in the short term, and this may normally pose a very good buying opportunity. If the lower trend floor at $56.23 is broken, it will firstly indicate a slower rate of rising, but may also be an early warning for a trend shift. Given the current short-term trend, the stock is expected to rise 292.83% during the next 3 months and, with a 90% probability hold a price between $220.90 and $391.57 at the end of this 3-month period.
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ROOT Signals & Forecast
The Root Inc stock holds buy signals from both short and long-term Moving Averages giving a positive forecast for the stock, but the stock has a general sell signal from the relation between the two signals where the long-term average is above the short-term average. On corrections down, there will be some support from the lines at $56.13 and $58.52. A breakdown below any of these levels will issue sell signals. Volume fell during the last trading day despite gaining prices. This causes a divergence between volume and price and it may be an early warning. The stock should be watched closely. 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 Friday, April 05, 2024, and so far it has fallen -24.41%. Further fall is indicated until a new bottom pivot has been found. Furthermore, there is currently a sell signal from the 3 month Moving Average Convergence Divergence (MACD).
Support, Risk & Stop-loss for Root Inc stock
On the downside, the stock finds support just below today's level from accumulated volume at $59.13 and $52.89. 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, Root Inc finds support just below today's level at $59.13. If this is broken, then the next support from accumulated volume will be at $52.89 and $52.25.
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 $7.43 between high and low, or 13.37%. For the last week, the stock has had daily average volatility of 9.61%.
Our recommended stop-loss: $58.95 (-5.92%) (This stock has very high daily movements and this gives very high risk. There is a sell signal from a pivot top found 14 days ago.)
Trading Expectations (ROOT) For The Upcoming Trading Day Of Friday 26th
For the upcoming trading day on Friday, 26th we expect Root Inc to open at $60.40, and during the day (based on 14 day Average True Range), to move between $55.98 and $69.34, which gives a possible trading interval of +/-$6.68 (+/-10.66%) up or down from last closing price. If Root Inc takes out the full calculated possible swing range there will be an estimated 21.32% move between the lowest and the highest trading price during the day.
Since the stock is closer to the resistance from accumulated volume at $65.70 (4.85%) than the support at $59.13 (5.63%), 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.
Earnings coming up
Root Inc will release earnings AMC on Tuesday, April 30, 2024.The consensus among the analysts for the expected earnings (EPS) is -$2.51. We will update the financials statements for Root Inc, that can be found here as soon as the records are public. Our systems has calculated a possible swing of +/- 7.79% in the first trading day after earnings release.
Is Root Inc stock A Buy?
Root Inc holds several negative signals and this should be a sell candidate, but due to the general chance for a turnaround situation it should be considered as a hold candidate (hold or accumulate) in this position whilst awaiting further development.
Current score: -0.318 Hold/Accumulate Unchanged
Predicted Opening Price for Root Inc of Friday, April 26, 2024
| Fair opening price April 26, 2024 | Current price |
|---|---|
| $60.40 ( 3.60%) | $62.66 |
The predicted opening price is based on yesterday's movements between high, low, and closing price.
Trading levels for ROOT
Fibonacci Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 67.83 | 8.26 % | |
| R2 | 65.00 | 3.73 % | ||
| R1 | 63.24 | 0.93 % | ||
| Current price: | 62.66 | |||
| Support | S1 | 57.57 | -8.13 % | |
| S2 | 55.81 | -10.93 % | ||
| S3 | 52.97 | -15.46 % |
Accumulated Volume Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 78.27 | 24.91 % | |
| R2 | 76.87 | 22.68 % | ||
| R1 | 65.70 | 4.85 % | ||
| Current price | 62.66 | |||
| Support | S1 | 59.13 | -5.63% | |
| S2 | 52.89 | -15.59% | ||
| S3 | 52.25 | -16.61% |
FAQ
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