PHMD - PhotoMedex Mon 27'th Feb 2017
Stock analysis for Mon 27'th Feb 2017 (Updated daily)
Buy candidate since 2017-02-24
PhotoMedex Stock Analysis
PhotoMedex gained 4.50% in the last trading day, rising from USD 2.22 to USD 2.32. , and has now gained 4 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 risen in 6 of the last 10 days days and is up by 20.21% over the past 2 weeks. Volume fell in the last day by -73 662 shares and ,in total, 441 349 shares bought and sold for approximately USD 1.02 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.
PhotoMedex lies in the middle of a very wide and strong 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 -27.6% during the next 3 months and, with 90% probability hold a price between USD 0.79 and USD 2.60 at the end of this period.
PhotoMedex 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 2.08 and USD 2.07. 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 22, 2017, which indicates further gains 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. 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.
Relative Strength Index (RSI)
RSI14 is 61 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 2.06 and USD 2.03. On the upside the stock meets some resistance just above today's level from accumulated volume at USD 2.41, USD 2.42 and USD 2.64.
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, PhotoMedex finds support just below today's level at 2.06. If this is broken, then the next support from accumulated volume will be at 2.03 and 2.00. The stock is about to test the resistance from accumulated volume at USD 2.41 and this may cause the stock to take a minor break or get into a more sideways move for a few days.
This stock may move much during a day (volatility) and with periodic low trading volume this stockstock is considered to be "high risk". During the last day, the stock moved USD 0.31 between high and low, or 14.55%. For the last week the stock has had a daily average volatility of 11.61%.
Our recommended stoploss: USD 2.28 (-1.72%) ( criteria: risk and position in trend)
Several short-term signals are positive and despite the stock being in a strong 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. We have upgraded our recommendation for this stock since last evaluation from a Hold/Accumulate to a Buy Candidate.