SUMITOMO CHEMICAL INDIA LIMITE 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
SUMITOMO CHEMICAL INDIA LIMITE stock upgraded from Buy Candidate to Strong Buy Candidate after Friday trading session.
(Updated on Jun 14, 2024)
The SUMITOMO CHEMICAL INDIA LIMITE stock price gained 1.78% on the last trading day (Friday, 14th Jun 2024), rising from ₹488.70 to ₹497.40. 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 3.11% from a day low at ₹488.80 to a day high of ₹504.00. The price has risen in 7 of the last 10 days and is up by 7.3% over the past 2 weeks. Volume fell on the last day by -97 thousand shares and in total, 36 thousand shares were bought and sold for approximately ₹17.75 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 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 37.84% during the next 3 months and, with a 90% probability hold a price between ₹611.39 and ₹713.66 at the end of this 3-month period.
Ready to grow your portfolio? Here's your beginner's guide to opening a free brokerage account.
SUMICHEM.BO Signals & Forecast
The SUMITOMO CHEMICAL INDIA LIMITE 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 ₹487.19 and ₹434.53. A breakdown below any of these levels will issue sell signals. A buy signal was issued from a pivot bottom point on Tuesday, June 04, 2024, and so far it has risen 8.98%. Further rise is indicated until a new top pivot has been found. 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. Furthermore, there is currently a sell signal from the 3 month Moving Average Convergence Divergence (MACD).
Support, Risk & Stop-loss for SUMITOMO CHEMICAL INDIA LIMITE stock
SUMITOMO CHEMICAL INDIA LIMITE finds support from accumulated volume at ₹488.45 and this level may hold a buying opportunity as an upwards reaction can be expected when the support is being tested.
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 ₹15.20 between high and low, or 3.11%. For the last week, the stock has had daily average volatility of 3.55%.
Since the SUMITOMO CHEMICAL INDIA LIMITE 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: ₹479.18 (-3.66%) (This stock has high daily movements and this gives high risk. There is a buy signal from a pivot bottom found 12 days ago.)
Trading Expectations (SUMICHEM.BO) For The Upcoming Trading Day Of Tuesday 18th
For the upcoming trading day on Tuesday, 18th we expect SUMITOMO CHEMICAL INDIA LIMITE to open at ₹496.73, and during the day (based on 14 day Average True Range), to move between ₹476.95 and ₹517.85, which gives a possible trading interval of +/-₹20.45 (+/-4.11%) up or down from last closing price. If SUMITOMO CHEMICAL INDIA LIMITE takes out the full calculated possible swing range there will be an estimated 8.22% move between the lowest and the highest trading price during the day.
With no resistance above and support from accumulated volume @ ₹488.45, some ₹8.95 (1.80%) from the current price of ₹497.40, our system finds the risk reward attractive.
Is SUMITOMO CHEMICAL INDIA LIMITE stock A Buy?
SUMITOMO CHEMICAL INDIA LIMITE holds several positive signals and is within a strong rising trend. As the old saying says, "Let the trend be your friend.'". We therefore consider it to be a good choice at these current levels and we are expecting further gains during the next 3 months. We have upgraded our analysis conclusion for this stock since the last evaluation from a Buy to a Strong Buy candidate.
Current score: 5.363 Strong Buy Candidate Upgraded
Predicted Opening Price for SUMITOMO CHEMICAL INDIA LIMITE of Tuesday, June 18, 2024
| Fair opening price June 18, 2024 | Current price |
|---|---|
| ₹496.73 ( 0.134%) | ₹497.40 |
The predicted opening price is based on yesterday's movements between high, low, and closing price.
Trading levels for SUMICHEM.BO
Fibonacci Support & Resistance Levels
| Level | Price | |
|---|---|---|
| R3 | 511.93 | 2.92% |
| R2 | 506.13 | 1.75% |
| R1 | 502.54 | 1.03% |
| Price | 497.40 | |
| S1 | 490.93 | -1.30% |
| S2 | 487.34 | -2.02% |
| S3 | 481.53 | -3.19% |
Accumulated Volume Support & Resistance Levels
| Level | Price | |
|---|---|---|
| R3 | 0 | - |
| R2 | 0 | - |
| R1 | 0 | - |
| Price | 497.40 | |
| S1 | 488.45 | -1.80% |
| S2 | 488.35 | -1.82% |
| S3 | 448.90 | -9.75% |
SUMICHEM Dividend Payout History
| # | Ex-Date | Pay Date | Amount | Yield | |
|---|---|---|---|---|---|
| 1 | Feb 14, 2024 | Feb 14, 2024 | Feb 14, 2024 | ₹5.00 | 1.32% |
| 2 | Jul 21, 2023 | Jul 21, 2023 | Aug 27, 2023 | ₹1.20 | 0.296% |
| 3 | Jul 21, 2022 | Jul 21, 2022 | Aug 28, 2022 | ₹1.00 | 0.207% |
FAQ
Click here for our free guide on how to buy SUMITOMO CHEMICAL INDIA LIMITE Stock.
