Swarnsarita Gems Limited Stock Forecast

Swarnsarita Gems Limited stock price ended at ₹28.29 on Tuesday, after losing 0.91%.
(Updated on Jun 25, 2024)

SWARNSAR.BO Signals & Forecast

There are mixed signals in the stock today. The Swarnsarita Gems Limited stock holds sell signals from both short and long-term Moving Averages giving a more negative forecast for the stock. Also, there is a general sell signal from the relation between the two signals where the long-term average is above the short-term average. On corrections up, there will be some resistance from the lines at ₹28.53 and ₹28.57. A break-up above any of these levels will issue buy signals. 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. A buy signal was issued from a pivot bottom point on Tuesday, June 04, 2024, and so far it has risen 19.72%. 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).

Support, Risk & Stop-loss for Swarnsarita Gems Limited stock

On the downside, the stock finds support just below today's level from accumulated volume at ₹25.56 and ₹25.00. 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, Swarnsarita Gems Limited finds support just below today's level at ₹25.56. If this is broken, then the next support from accumulated volume will be at ₹25.00 and ₹23.63.

This stock has average movements during the day, but be aware of low or falling volume as this increases the risk. During the last day, the stock moved ₹0.89 between high and low, or 3.17%. For the last week the stock has had daily average volatility of 6.13%.

The Swarnsarita Gems Limited stock is overbought on RSI14 and lies in the upper part of the trend. Normally this may pose a good selling opportunity for the short-term trader, but some stocks may go long and hard while being overbought and the RSI is still moving upwards. Regardless, the high RSI together with the trend position increases the risk and higher daily movements (volatility) should be expected. A correction down in the nearby future seems very likely, and it is of great importance that the stock manages to break the trend before that occurs.

Our recommended stop-loss: We hold a negative evaluation for this stock. No stop-loss is set.

Trading Expectations (SWARNSAR.BO) For The Upcoming Trading Day Of Wednesday 26th

For the upcoming trading day on Wednesday, 26th we expect Swarnsarita Gems Limited to open at ₹28.47, and during the day (based on 14 day Average True Range), to move between ₹26.40 and ₹30.18, which gives a possible trading interval of +/-₹1.89 (+/-6.68%) up or down from last closing price. If Swarnsarita Gems Limited takes out the full calculated possible swing range there will be an estimated 13.36% move between the lowest and the highest trading price during the day.

Since the stock is closer to the resistance from accumulated volume at ₹28.53 (0.85%) than the support at ₹25.56 (9.65%), 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 Swarnsarita Gems Limited stock A Buy?

Swarnsarita Gems Limited 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.

Current score: -1.399 Sell Candidate Unchanged

Predicted Opening Price for Swarnsarita Gems Limited of Wednesday, June 26, 2024

The predicted opening price is based on yesterday's movements between high, low, and closing price.