Fri 21'st Jul 2017
National Grid Transco PLC Stock Analysis
Technical stock analysis for Fri 21'st Jul 2017
Buy candidate since 2017-07-17 Gain 1.96%
National Grid Transco PLC lies in the middle of a wide and falling trend in the short term and further fall within the trend is signaled. Given the current short-term trend, the stock is expected to fall -16.93% during the next 3 months and, with 90% probability hold a price between $48.72 and $54.73 at the end of this period.
A buy signal was issued from a pivot bottom point on Tuesday July 11, 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. Some negative signals were issued as well, and these may have some influence on the near short-term development. National Grid Transco PLC holds a buysignal from the short-term moving average; at the same time, however, a sales signal from the long-term average. Since the longterm average is above the short-term average there is a general sales signal in the stock. On further gains, the stock will meet resistance from the long-term moving average at $63.81. On a fall, the stock will find some support from the short-term average at $62.13. A break-up through the long-term average will give another buy signal, while a fall below the short-term average will add another sales signal and strengthen the general signal.
Relative Strength Index (RSI)
RSI14 is 51 and the stock is currently not being overbought or oversold
Support & Resistance
National Grid Transco PLC finds support from accumulated volume at $61.92, $61.43, and $61.31. On the upside the stock meets some resistance from accumulated volume at $67.60, $66.86 and $74.47.
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 $0.43 (0.69%) between high and low. For the last week, the stock has had a daily average volatility of 0.47%.
Since the National Grid Transco PLC has been rising for 9 days in a row, the risk for the next couple of days has increased. We don't expect a major reaction as the stock is in very good shape technically, and therefore hold a positive evaluation despite the very short term risk.
Our recommended stoploss: $59.95 (-4.72%) (This stock has low daily movements and this gives low risk. There is a buy signal from pivot bottom found 8 days ago.)
Several short-term signals are positive, despite the stock being in a falling trend, 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.
Your capital is at risk.