Sona BLW Precision Forgings Li 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
Weaker technical forecast for Sona BLW Precision Forgings Li as stock downgraded to Sell Candidate.
(Updated on Jun 14, 2024)
The Sona BLW Precision Forgings Li stock price fell by -0.491% on the last day (Friday, 14th Jun 2024) from ₹652.00 to ₹648.80. During the last trading day the stock fluctuated 2.22% from a day low at ₹640.80 to a day high of ₹655.05. The price has fallen in 6 of the last 10 days and is down by -0.28% for this period. Volume has increased on the last day by 53 thousand shares but on falling prices. This may be an early warning and the risk will be increased slightly over the next couple of days. In total, 73 thousand shares were bought and sold for approximately ₹47.15 million.
The stock lies the upper part of a 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 ₹671.05 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 -5.63% during the next 3 months and, with a 90% probability hold a price between ₹523.41 and ₹633.28 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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SONACOMS.BO Signals & Forecast
The Sona BLW Precision Forgings Li 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 ₹656.59. On a fall, the stock will find some support from the long-term average at approximately ₹630.08. 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. 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 Friday, June 07, 2024, and so far it has fallen -2.30%. Further fall is indicated until a new bottom pivot has been found. Volume rose on falling prices yesterday. This may be an early warning and the stock should be followed more closely.
Support, Risk & Stop-loss for Sona BLW Precision Forgings Li stock
On the downside, the stock finds support just below today's level from accumulated volume at ₹608.55 and ₹604.55. 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, Sona BLW Precision Forgings Li finds support just below today's level at ₹608.55. If this is broken, then the next support from accumulated volume will be at ₹604.55 and ₹570.50.
This stock has average movements during the day and with good trading volume, the risk is considered to be medium. During the last day, the stock moved ₹14.25 between high and low, or 2.22%. For the last week, the stock has had daily average volatility of 2.19%.
Our recommended stop-loss: We hold a negative evaluation for this stock. No stop-loss is set.
Trading Expectations (SONACOMS.BO) For The Upcoming Trading Day Of Tuesday 18th
For the upcoming trading day on Tuesday, 18th we expect Sona BLW Precision Forgings Li to open at ₹648.22, and during the day (based on 14 day Average True Range), to move between ₹626.54 and ₹671.06, which gives a possible trading interval of +/-₹22.26 (+/-3.43%) up or down from last closing price. If Sona BLW Precision Forgings Li takes out the full calculated possible swing range there will be an estimated 6.86% move between the lowest and the highest trading price during the day.
Since the stock is closer to the resistance from accumulated volume at ₹677.05 (4.35%) than the support at ₹608.55 (6.20%), 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 Sona BLW Precision Forgings Li stock A Buy?
Sona BLW Precision Forgings Li 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: -1.764 Sell Candidate Downgraded
Predicted Opening Price for Sona BLW Precision Forgings Li of Tuesday, June 18, 2024
| Fair opening price June 18, 2024 | Current price |
|---|---|
| ₹648.22 ( 0.0899%) | ₹648.80 |
The predicted opening price is based on yesterday's movements between high, low, and closing price.
Trading levels for SONACOMS.BO
Fibonacci Support & Resistance Levels
| Level | Price | |
|---|---|---|
| R3 | 662.47 | 2.11% |
| R2 | 657.02 | 1.27% |
| R1 | 653.66 | 0.749% |
| Price | 648.80 | |
| S1 | 642.77 | -0.93% |
| S2 | 639.41 | -1.45% |
| S3 | 633.97 | -2.29% |
Accumulated Volume Support & Resistance Levels
| Level | Price | |
|---|---|---|
| R3 | 699.45 | 7.81% |
| R2 | 679.85 | 4.79% |
| R1 | 677.05 | 4.35% |
| Price | 648.80 | |
| S1 | 608.55 | -6.20% |
| S2 | 604.55 | -6.82% |
| S3 | 570.50 | -12.07% |
SONACOMS Dividend Payout History
| # | Ex-Date | Pay Date | Amount | Yield | |
|---|---|---|---|---|---|
| 1 | Jun 14, 2024 | Jun 14, 2024 | Aug 01, 2024 | ₹1.53 | 0.236% |
| 2 | Feb 05, 2024 | Feb 05, 2024 | Feb 22, 2024 | ₹1.53 | 0.249% |
| 3 | Jun 30, 2023 | Jun 30, 2023 | Aug 18, 2023 | ₹1.53 | 0.270% |
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