Smruthi Organics 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
Smruthi Organics Limited stock downgraded from Buy Candidate to Hold/Accumulate after Friday trading session.
(Updated on May 31, 2024)
The Smruthi Organics Limited stock price fell by -0.471% on the last day (Friday, 31st May 2024) from ₹169.80 to ₹169.00. During the last trading day the stock fluctuated 4.53% from a day low at ₹164.55 to a day high of ₹172.00. The price has fallen in 6 of the last 10 days but is still up by 0.75% 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 -10 thousand shares and in total, 2 thousand shares were bought and sold for approximately ₹353.21 thousand.
The stock lies in the middle of a wide and strong rising trend in the short term and a further rise within the trend is signaled. Given the current short-term trend, the stock is expected to rise 11.62% during the next 3 months and, with a 90% probability hold a price between ₹177.20 and ₹200.20 at the end of this 3-month period.
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SMRUTHIORG.BO Signals & Forecast
The Smruthi Organics Limited stock holds a sell signal from the short-term Moving Average; at the same time, however, there is a buy signal from the long-term average. Since the short-term average is above the long-term average there is a general buy signal in the stock giving a positive forecast for the stock. On further gains, the stock will meet resistance from the short-term Moving Average at approximately ₹169.94. On a fall, the stock will find some support from the long-term average at approximately ₹162.19. A break-up through the short-term average will send a buy signal, whereas a breakdown through the long-term average will send a sell signal. 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, May 24, 2024, and so far it has fallen -3.59%. 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). 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 Smruthi Organics Limited stock
On the downside, the stock finds support just below today's level from accumulated volume at ₹146.10 and ₹145.50. 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, Smruthi Organics Limited finds support just below today's level at ₹146.10. If this is broken, then the next support from accumulated volume will be at ₹145.50 and ₹144.75.
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 ₹7.45 between high and low, or 4.53%. For the last week the stock has had daily average volatility of 4.72%.
Our recommended stop-loss: ₹159.70 (-5.50%) (This stock has low daily movements and this gives low risk. There is a sell signal from a pivot top found 42 days ago.)
Trading Expectations (SMRUTHIORG.BO) For The Upcoming Trading Day Of Monday 3rd
For the upcoming trading day on Monday, 3rd we expect Smruthi Organics Limited to open at ₹168.52, and during the day (based on 14 day Average True Range), to move between ₹162.21 and ₹175.79, which gives a possible trading interval of +/-₹6.79 (+/-4.02%) up or down from last closing price. If Smruthi Organics Limited takes out the full calculated possible swing range there will be an estimated 8.03% move between the lowest and the highest trading price during the day.
Since the stock is closer to the resistance from accumulated volume at ₹169.80 (0.47%) than the support at ₹146.10 (13.55%), 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 Smruthi Organics Limited stock A Buy?
Smruthi Organics 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. Due to some small weaknesses in the technical picture we have downgraded our analysis conclusion for this stock since the last evaluation from a Buy to a Hold/Accumulate candidate.
Current score: 0.166 Hold/Accumulate Downgraded
Predicted Opening Price for Smruthi Organics Limited of Monday, June 3, 2024
| Fair opening price June 3, 2024 | Current price |
|---|---|
| ₹168.52 ( 0.286%) | ₹169.00 |
The predicted opening price is based on yesterday's movements between high, low, and closing price.
Trading levels for SMRUTHIORG.BO
Fibonacci Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 175.97 | 4.12 % | |
| R2 | 173.12 | 2.44 % | ||
| R1 | 171.36 | 1.40 % | ||
| Current price: | 169.00 | |||
| Support | S1 | 165.67 | -1.97 % | |
| S2 | 163.91 | -3.01 % | ||
| S3 | 161.07 | -4.69 % |
Accumulated Volume Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 175.30 | 3.73 % | |
| R2 | 172.20 | 1.89 % | ||
| R1 | 169.80 | 0.473 % | ||
| Current price | 169.00 | |||
| Support | S1 | 146.10 | -13.55% | |
| S2 | 145.50 | -13.91% | ||
| S3 | 144.75 | -14.35% |
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