Ares Capital Corporation 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
Green day on Friday for Ares Capital Corporation stock after gaining 0.83%
(Updated on Apr 19, 2024)
The Ares Capital Corporation stock price gained 0.83% on the last trading day (Friday, 19th Apr 2024), rising from $20.42 to $20.59. It has now gained 3 days in a row. It will be exciting to see whether it manages to continue gaining or take a minor break for the next few days. During the last trading day the stock fluctuated 1.21% from a day low at $20.41 to a day high of $20.66. The price has fallen in 5 of the last 10 days but is still up by 0.1% over the past 2 weeks. Volume has increased on the last day along with the price, which is a positive technical sign, and, in total, 439 thousand more shares were traded than the day before. In total, 2 million shares were bought and sold for approximately $49.74 million.
The stock is moving within a narrow and horizontal trend and further movements within this trend can be expected. Given the current horizontal trend, you can expect Ares Capital Corporation stock with a 90% probability to be traded between $20.17 and $21.04 at the end of this 3-month period. A break of a horizontal trend is often followed by a large increase in the volume, and stocks seldom manage to go directly from the bottom of a trend up to the top. Stocks turning up in the middle of a horizontal trend are therefore considered to be potential runners.
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ARCC Signals & Forecast
Mostly positive signals in the chart today. The Ares Capital Corporation 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 $20.37 and $20.36. A breakdown below any of these levels will issue sell signals. A buy signal was issued from a pivot bottom point on Monday, April 15, 2024, and so far it has risen 1.73%. 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 is rising along with the price. This is considered to be a good technical signal. The stock had a Golden Star Signal on Monday, March 25, 2024 in the short-term chart.
Golden Star Signal is when the short-term moving average, the long-term moving average, and price line meet in a special combination. This combination is very rare and often followed by long and strong gains for the stock in question.
Golden Star
The stock had a Golden Star Signal on Monday, March 25, 2024 in the short-term chart.Golden Star Signal is when the short-term moving average, the long-term moving average, and price line meet in a special combination. This combination is very rare and often followed by long and strong gains for the stock in question.
A sell signal from a double top formation was found on Thursday, March 28, 2024 and based on theory for this formation the price should fall by -6.85% to $19.18 within 11 trading days since signal was issued (Monday, April 22, 2024).
Support, Risk & Stop-loss for Ares Capital Corporation stock
Ares Capital Corporation finds support from accumulated volume at $20.39 and this level may hold a buying opportunity as an upwards reaction can be expected when the support is being tested.
In general the stock tends to have very controlled movements and with good liquidity the risk is considered very low in this stock. During the last day, the stock moved $0.247 between high and low, or 1.21%. For the last week the stock has had daily average volatility of 1.19%.
Our recommended stop-loss: $19.50 (-5.31%) (This stock has low daily movements and this gives low risk. There is a buy signal from a pivot bottom found 4 days ago.)
Trading Expectations (ARCC) For The Upcoming Trading Day Of Monday 22nd
For the upcoming trading day on Monday, 22nd we expect Ares Capital Corporation to open at $20.55, and during the day (based on 14 day Average True Range), to move between $20.35 and $20.83, which gives a possible trading interval of +/-$0.238 (+/-1.16%) up or down from last closing price. If Ares Capital Corporation takes out the full calculated possible swing range there will be an estimated 2.31% move between the lowest and the highest trading price during the day.
Since the stock is closer to the resistance from accumulated volume at $20.73 (0.68%) than the support at $20.39 (0.97%), 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 Ares Capital Corporation stock A Buy?
Several short-term signals are positive and we conclude that the current level may hold a buying opportunity, as there is a fair chance for Ares Capital Corporation stock to perform well in the short-term period.
Current score: 3.224 Buy Candidate Unchanged
Predicted Opening Price for Ares Capital Corporation of Monday, April 22, 2024
| Fair opening price April 22, 2024 | Current price |
|---|---|
| $20.55 ( 0.183%) | $20.59 |
The predicted opening price is based on yesterday's movements between high, low, and closing price.
Trading levels for ARCC
Fibonacci Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 20.80 | 1.02 % | |
| R2 | 20.70 | 0.557 % | ||
| R1 | 20.65 | 0.275 % | ||
| Current price: | 20.59 | |||
| Support | S1 | 20.46 | -0.641 % | |
| S2 | 20.40 | -0.92 % | ||
| S3 | 20.31 | -1.38 % |
Accumulated Volume Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 20.82 | 1.12 % | |
| R2 | 20.78 | 0.92 % | ||
| R1 | 20.73 | 0.680 % | ||
| Current price | 20.59 | |||
| Support | S1 | 20.39 | -0.97% | |
| S2 | 20.23 | -1.75% | ||
| S3 | 20.11 | -2.33% |
ARCC Dividend Payout History
| # | Ex-Date | Pay Date | Amount | Yield | |
|---|---|---|---|---|---|
| 1 | Feb 07, 2024 | Mar 14, 2024 | Mar 29, 2024 | $0.480 | 2.31% |
| 2 | Oct 24, 2023 | Dec 14, 2023 | Dec 28, 2023 | $0.480 | 2.39% |
| 3 | Jul 25, 2023 | Sep 14, 2023 | Sep 29, 2023 | $0.480 | 2.47% |
| 4 | Apr 25, 2023 | Jun 14, 2023 | Jun 30, 2023 | $0.480 | 2.55% |
| 5 | Feb 07, 2023 | Mar 14, 2023 | Mar 31, 2023 | $0.480 | 2.63% |
FAQ
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