STEL Holdings Limited Stock Forecast
Weaker technical forecast for STEL Holdings Limited as stock downgraded to Buy Candidate.
(Updated on May 31, 2024)
The STEL Holdings Limited stock price gained 1.23% on the last trading day (Friday, 31st May 2024), rising from ₹399.20 to ₹404.10. It has now gained 6 days in a row. It is not often that stocks manage to gain so many days in a row, and falls for a day or two should be expected. During the last trading day the stock fluctuated 5.06% from a day low at ₹395.00 to a day high of ₹415.00. The price has risen in 8 of the last 10 days and is up by 15.71% over the past 2 weeks. Volume fell on the last day by -12 thousand shares and in total, 41 thousand shares were bought and sold for approximately ₹16.67 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 has broken the wide and strong 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 ₹382.08, a level that may pose a second chance to hit a runner. According to fan-theory ₹447.16 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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STEL.NS Signals & Forecast
Mostly positive signals in the chart today. The STEL Holdings 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 ₹381.04 and ₹335.23. A breakdown below any of these levels will issue sell signals. A buy signal was issued from a pivot bottom point on Thursday, May 09, 2024, and so far it has risen 31.67%. Further rise is indicated until a new top pivot has been found. Furthermore, there is a buy signal from the 3 month Moving Average Convergence Divergence (MACD). 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.
Support, Risk & Stop-loss for STEL Holdings Limited stock
On the downside, the stock finds support just below today's level from accumulated volume at ₹370.35 and ₹358.10. 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, STEL Holdings Limited finds support just below today's level at ₹370.35. If this is broken, then the next support from accumulated volume will be at ₹358.10 and ₹326.60.
This stock may move much during the day (volatility) and with a large prediction interval from the Bollinger Band this stock is considered to be "high risk". During the last day, the stock moved ₹20.00 between high and low, or 5.06%. For the last week, the stock has had daily average volatility of 5.45%.
The STEL Holdings Limited stock is extremely overbought on RSI14 (88). Normally this may pose a good selling opportunity but since the stock has broken the trend up, the chance for a major correction due to high RSI is very small as the stock will find support at the trend broken. Since the STEL Holdings Limited has been rising for 6 days in a row, the risk over the next couple of days has increased. We don't expect a major reaction as the stock is in very good shape technically, and therefore hold a positive evaluation despite the very short term risk.
Our recommended stop-loss: ₹393.03 (-2.74%) (This stock has high daily movements and this gives high risk. The RSI14 is 88 and this increases the risk substantially. There is a buy signal from a pivot bottom found 38 days ago.)
Trading Expectations (STEL.NS) For The Upcoming Trading Day Of Monday 3rd
For the upcoming trading day on Monday, 3rd we expect STEL Holdings Limited to open at ₹404.70, and during the day (based on 14 day Average True Range), to move between ₹384.95 and ₹423.25, which gives a possible trading interval of +/-₹19.15 (+/-4.74%) up or down from last closing price. If STEL Holdings Limited takes out the full calculated possible swing range there will be an estimated 9.48% move between the lowest and the highest trading price during the day.
With no resistance above and support from accumulated volume @ ₹370.35, some ₹33.75 (8.35%) from the current price of ₹404.10, our system finds the risk reward attractive.
Is STEL Holdings Limited stock A Buy?
Several short-term signals are positive and the stock has broke the rising trend up, which indicates an even stronger rate of rising. We conclude that the current level may hold a buying opportunity as there is a fair chance for STEL Holdings Limited stock to perform well in the short-term period. Due to some small weaknesses in the technical picture we have downgraded our analysis conclusion for this stock since the last evaluation from a Strong Buy to a Buy candidate.
Current score: 4.235 Buy Candidate Downgraded
Predicted Opening Price for STEL Holdings Limited of Monday, June 3, 2024
| Fair opening price June 3, 2024 | Current price |
|---|---|
| ₹404.70 ( 0.148%) | ₹404.10 |
The predicted opening price is based on yesterday's movements between high, low, and closing price.
Trading levels for STEL.NS
Fibonacci Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 424.70 | 5.10 % | |
| R2 | 417.06 | 3.21 % | ||
| R1 | 412.34 | 2.04 % | ||
| Current price: | 404.10 | |||
| Support | S1 | 397.06 | -1.74 % | |
| S2 | 392.34 | -2.91 % | ||
| S3 | 384.70 | -4.80 % |
Accumulated Volume Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 0 | . | |
| R2 | 0 | . | ||
| R1 | 0 | . | ||
| Current price | 404.10 | |||
| Support | S1 | 370.35 | -8.35% | |
| S2 | 358.10 | -11.38% | ||
| S3 | 326.60 | -19.18% |
FAQ
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