RSD/BRL Currency Pair 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
Weaker technical forecast for RSD/BRL as currency pair downgraded to Hold/Accumulate.
(Updated on Jun 28, 2024)
The RSD/BRL currency pair price gained 1.62% on the last trading day (Friday, 28th Jun 2024), rising from R$0.0504 to R$0.0512. It has now gained 4 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 currency pair fluctuated 1.90% from a day low at R$0.0503 to a day high of R$0.0512. The price has risen in 7 of the last 10 days and is up by 3.99% over the past 2 weeks. Volume fell on the last day by -8 shares and in total, 53 shares were bought and sold for approximately R$2.71 . 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 currency pair has broken the narrow and weak rising the short-term trend up and an even stronger rate of rising is indicated. For any reaction back there will now be support on the roof on the current trend broken at R$0.0510, a level that may pose a second chance to hit a runner. According to fan-theory R$0.0534 will be the next possible trend-top level and thereby pose a resistance level that may not be broken at the first attempt.
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RSDBRL Signals & Forecast
The RSD/BRL currency pair 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 R$0.0501 and R$0.0488. A breakdown below any of these levels will issue sell signals. A buy signal was issued from a pivot bottom point on Tuesday, May 07, 2024, and so far it has risen 9.98%. Further rise is indicated until a new top pivot has been found. Some negative signals were issued as well, and these may have some influence on the near short-term development. Furthermore, there is currently a sell signal from the 3 month Moving Average Convergence Divergence (MACD). Volume fell during the last trading day while the price increased. This causes a divergence and may be considered as an early warning, but it may not be. The very low volume increases the risk and reduces the other technical signals issued. The currency pair had a Golden Star Signal on Sunday, November 19, 2023 in the long-term chart.
Golden Star Signal is when the short-term moving average, the long-term moving average, and price line meet in a special combination. This combination is very rare and often followed by long and strong gains for the currency pair in question.
Golden Star 12 Months
The currency pair had a Golden Star Signal on Sunday, November 19, 2023 in the long-term chart.Golden Star Signal is when the short-term moving average, the long-term moving average, and price line meet in a special combination. This combination is very rare and often followed by long and strong gains for the currency pair in question.
Support, Risk & Stop-loss for RSD/BRL currency pair
On the downside, the currency pair finds support just below today's level from accumulated volume at R$0.0473 and R$0.0469. There is a natural risk involved when a currency pair is testing a support level, since if this is broken, the currency pair then may fall to the next support level. In this case, RSD/BRL finds support just below today's level at R$0.0473. If this is broken, then the next support from accumulated volume will be at R$0.0469 and R$0.0467.
In general the currency pair tends to have very controlled movements and therefore the general risk is considered very low. However, be aware of low or falling volume and make sure to keep an eye on the currency pair During the last day, the currency pair moved R$0.0010 between high and low, or 1.90%. For the last week the currency pair has had daily average volatility of 1.97%
Our recommended stop-loss: R$0.0496 (-3.10%) (This currency pair has low daily movements and this gives low risk. There is a buy signal from a pivot bottom found 58 days ago.)
Trading Expectations (RSDBRL) For The Upcoming Trading Day Of Monday 1st
For the upcoming trading day on Monday, 1st we expect RSD/BRL to open at R$0.0509, and during the day (based on 14 day Average True Range), to move between R$0.0505 and R$0.0519, which gives a possible trading interval of +/-R$0.0007 (+/-1.38%) up or down from last closing price. If RSD/BRL takes out the full calculated possible swing range there will be an estimated 2.76% move between the lowest and the highest trading price during the day.
With no resistance above and support from accumulated volume @ R$0.0473, some R$0.0038 (7.50%) from the current price of R$0.0512, our system finds the risk reward attractive.
Is RSD/BRL currency pair A Buy?
RSD/BRL 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. Due to some small weaknesses in the technical picture we have downgraded our analysis conclusion for this currency pair since the last evaluation from a Strong Buy to a Hold/Accumulate candidate.
Current score: 0.000 Hold/Accumulate Downgraded
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 RSD/BRL of Monday, July 1, 2024
Fair opening price July 1, 2024 | Current price |
---|---|
R$0.0509 ( 0.551%) | R$0.0512 |
The predicted opening price is based on yesterday's movements between high, low, and closing price.
Trading levels for RSDBRL
Fibonacci Support & Resistance Levels
Level | Price | |
---|---|---|
R3 | 0.0518 | 1.32% |
R2 | 0.0515 | 0.603% |
R1 | 0.0513 | 0.162% |
Price | 0.0512 | |
S1 | 0.0505 | -1.27% |
S2 | 0.0503 | -1.71% |
S3 | 0.0499 | -2.42% |
Accumulated Volume Support & Resistance Levels
Level | Price | |
---|---|---|
R3 | 0 | - |
R2 | 0 | - |
R1 | 0 | - |
Price | 0.0512 | |
S1 | 0.0473 | -7.50% |
S2 | 0.0469 | -8.43% |
S3 | 0.0467 | -8.75% |
FAQ
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