ALL - Allstate Corporation (The) Tue 24'th Jan 2017
Stock analysis for Tue 24'th Jan 2017 (Updated daily)
Buy candidate since 2017-01-24
Allstate Corporation (The) Stock Analysis
Allstate Corporation (The) gained 0.43% in the last trading day, rising from USD 74.15 to USD 74.47. The price has risen in 6 of the last 10 days days and is up by 1.89% over the past 2 weeks. Volume fell in the last day by -0.16 million shares and ,in total, 1.08 million shares bought and sold for approximately USD 80.06 million. You should note that falling volume on higher prices causes divergence and may be an early warning about possible changes for the next couple of days.
Allstate Corporation (The) lies in the middle of a narrow 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 11.1% during the next 3 months and, with 90% probability hold a price between USD 81.58 and USD 86.06 at the end of this period.
Only positive signals in the chart today. Allstate Corporation (The) holds buy signals from both short- and long-term moving averages. In addition, 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 USD 74.23 and USD 73.55. A break down below any of these levels will issue sell signals. A buy signal was issued from a pivot bottom point on Monday January 09, 2017, which indicates further gains 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 may be an early warning. The stock should be watched closely.
Relative Strength Index (RSI)
RSI14 is 53 and the stock is currently not being overbought or oversold
Support & Resistance
On the downside, the stock finds support just below today's level from accumulated volume at USD 69.92 and USD 69.63. On the upside the stock meets some resistance just above today's level from accumulated volume at USD 74.48, USD 74.52 and USD 74.54.
There is 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, Allstate Corporation (The) finds support just below today's level at 69.92. If this is broken, then the next support from accumulated volume will be at 69.63 and 68.09. The stock is about to test the resistance from accumulated volume at USD 74.48 and this may cause the stock to take a minor break or get into a more sideways move for a few days.
This stock is usually traded at good volume, and with minor daily changes the risk is considered to be low. During the last day, the stock moved USD 0.69 (0.93%) between high and low. For the last week, the stock has had a daily average volatility of 1.15%.
Our recommended stoploss: USD 72.34 (-2.86%) ( criteria: risk and closeness to support from trendline.)
Several short-term signals, along with a general good trend, are positive and we conclude that the current level may hold a buying opportunity as there is a fair chance for this stock to perform well in the short-term. We have upgraded our recommendation for this stock since last evaluation from a Sell Candidate to a Buy Candidate.