SAFM - Sanderson Farms Mon 27'th Feb 2017
Stock analysis for Mon 27'th Feb 2017 (Updated daily)
Hold candidate since 2017-02-24
Sanderson Farms Stock Analysis
Sanderson Farms fell by -0.56% in the last day, from USD 94.44 to USD 93.91. , and has now fallen 3 day in a row The price has risen in 7 of the last 10 days days and is up by 2.41% over the past 2 weeks. Volume increased in the last day by 67 602 shares, but on falling prices. This is may be an early warning and risk is increased slightly for the next couple of days. In total, 483 886 shares bought and sold for approximately USD 45.44 million.
Sanderson Farms lies in the middle of a wide and weak rising trend in the short term and a further rise within the trend is signaled. Given the current short-term trend, the stock is expected to rise 8.0% during the next 3 months and, with 90% probability hold a price between USD 95.22 and USD 110.75 at the end of this period.
There are mixed signals in the stock today. A sales signal was issued from a pivot top point on Thursday February 23, 2017, which indicates further falls until a new bottom pivot has been found. Volume rose on falling prices yesterday. This may be an early warning and the stock should be followed more closely. Sanderson Farms holds a sales signal from the short-term moving average; at the same time, however, there is a buy signal from the long-term average. Since the short-term average is above the long-term average there is a general buy signal in the stock. On further gains, the stock will meet resistance from the short-term moving average at approximately USD 94.47. On a fall, the stock will find some support from the long-term average at approximately USD 92.59. A break-up through the short-term average will send a buy signal, whereas a breakdown through the long-term average will send a sales signal.
Relative Strength Index (RSI)
RSI14 is 68 and the stock is currently not being overbought or oversold
Support & Resistance
Sanderson Farms finds support from accumulated volume at USD 93.66, USD 89.99, and USD 88.75. On the upside the stock meets some resistance just above today's level from accumulated volume at USD 95.16, USD 95.22 and USD 96.70.
The stock is about to test the resistance from accumulated volume at USD 95.16 and this may cause the stock to take a minor break or get into a more sideways move for a few days.
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 USD 1.68 (1.80%) between high and low. For the last week, the stock has had a daily average volatility of 3.74%.
Our recommended stoploss: USD 89.58 (-4.61%) ( criteria: risk and position in trend)
Sanderson Farms holds several positive signals, but we still don't find these to be enough for a buy-recommendation. At the current level we recommend a hold or accumulate position awaiting further development.