Central Fund of Canada Ltd Forecast and Stock Analysis
Technical CEF stock analysis for February 15, 2019.
|Shorts||0.90% ( 2019-01-31 )|
Central Fund of Canada Ltd gained 0.78% in the last trading day, rising from $12.77 to $12.87 , and 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. The price has been going up and down for this period, and there has been a -0.23% loss for the last 2 weeks. Volume fell in the last day by -93 681 shares, and in total, 297 856 shares bought and sold for approximately $3.83 million. You should take into consideration that a falling volume on higher prices causes divergence and may be an early warning about possible changes for the next couple of days.
Close price at the end of the last trading day (Friday, 15th Feb 2019) of the CEF stock was $12.87. This is 0.78% more than the trading day before Thursday, 14th Feb 2019.
During day the stock fluctuated 1.09% from a day low at $12.80 to a day high of $12.94.
30 day high of the CEF stock price was $13.06 and low was $12.49.
90 day high was $13.06 and low was $11.63.
52 week high for the Central Fund of Canada Ltd - $13.78 and low - $11.37.
Central Fund of Canada Ltd lies in the lower part of a narrow and strong rising trend in the short term, and this will normally pose a very good buying opportunity. A break down the bottom trend line at $12.78 will firstly indicate a slower raising rate, but may also be a early warning for a trend shift. Given the current short-term trend, the stock is expected to rise 11.14% during the next 3 months and, with 90% probability hold a price between $14.21 and $14.78 at the end of this period.
Only positive signals in the chart today. Central Fund of Canada Ltd 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 $12.82 and $12.71. A break down below any of these levels will issue sell signals. A buy signal was issued from a pivot bottom point on Wednesday February 13, 2019, 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.
* 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.
Relative Strength Index (RSI)
RSI14 is 55 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 $12.17 and $12.01.
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, Central Fund of Canada Ltd finds support just below today's level at $12.17. If this is broken, then the next support from accumulated volume will be at $12.01 and $11.97.
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 $0.14 (1.09%) between high and low. For the last week, the stock has had a daily average volatility of 0.80%.
Our recommended stoploss: $12.20 (-5.18%) (This stock has low daily movements and this gives low risk. There is a buy signal from pivot bottom found 2 days ago.)
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Evaluation: Buy Candidate
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.