Western Asset High Income Opportunity Stock Forecast

Weaker technical forecast for Western Asset High Income Opportunity as stock downgraded to Sell Candidate.
(Updated on Apr 18, 2024)

HIO Signals & Forecast

A buy signal was issued from a pivot bottom point on Tuesday, April 16, 2024, and so far it has risen 1.08%. Further rise is indicated until a new top pivot has been found. Some negative signals were issued as well, and these may have some influence on the near short-term development. The Western Asset High Income Opportunity 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 $3.77 and $3.90. A break-up above any of these levels will issue buy signals. Furthermore, there is currently a sell signal from the 3 month Moving Average Convergence Divergence (MACD). Volume fell during the last trading day while the price increased. This causes a divergence and may be considered as an early warning, but it may also not.

Support, Risk & Stop-loss for Western Asset High Income Opportunity stock

Western Asset High Income Opportunity finds support from accumulated volume at $3.75 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 controlled movements and therefore the general risk is considered low. However, be aware of low or falling volume and make sure to keep an eye on the stock. During the last day, the stock moved $0.0292 between high and low, or 0.783%. For the last week the stock has had daily average volatility of 1.28%.

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

Trading Expectations (HIO) For The Upcoming Trading Day Of Friday 19th

For the upcoming trading day on Friday, 19th we expect Western Asset High Income Opportunity Fund Inc to open at $3.75, and during the day (based on 14 day Average True Range), to move between $3.72 and $3.80, which gives a possible trading interval of +/-$0.0421 (+/-1.12%) up or down from last closing price. If Western Asset High Income Opportunity Fund Inc takes out the full calculated possible swing range there will be an estimated 2.24% move between the lowest and the highest trading price during the day.

Since the stock is closer to the support from accumulated volume at $3.75 (0.27%) than the resistance at $3.92 (4.26%), our systems sees the trading risk/reward intra-day as attractive and believe profit can be made before the stock reaches first resistance..

Is Western Asset High Income Opportunity Fund Inc stock A Buy?

Western Asset High Income Opportunity holds several negative signals and is within a falling trend, so we believe it will still perform weakly in the next couple of days or weeks. We therefore hold a negative evaluation of this stock. Due to some small weaknesses in the technical picture we have downgraded our analysis conclusion for this stock since the last evaluation from a Hold/Accumulate to a Sell candidate.

Current score: -1.217 Sell Candidate Downgraded

Predicted Opening Price for Western Asset High Income Opportunity Fund Inc of Friday, April 19, 2024

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