SCSS - Select Comfort Corporation Tue 24'th Jan 2017
Stock analysis for Tue 24'th Jan 2017 (Updated daily)
Buy candidate since 2017-01-24
Select Comfort Corporation Stock Analysis
Select Comfort Corporation gained 2.58% in the last trading day, rising from USD 20.13 to USD 20.65. The price has fallen in 7 of the last 10 days and is down by -6.31% for this period. Volume also increased in the last day along with the price, which is a positive technical sign, and, in total, 1 743 more shares were traded than the day before. In total, 624 690 shares bought and sold for approximately USD 12.90 million.
Select Comfort Corporation lies in the lower part of a very wide and weak rising trend in the short term, and this will normally pose a very good buying opportunity. A break down the bottom trend line at USD 20.16 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 7.8% during the next 3 months and, with 90% probability hold a price between USD 21.73 and USD 27.49 at the end of this period.
A buy signal was issued from a pivot bottom point on Monday January 23, 2017, which indicates further gains until a new top pivot has been found. Volume is rising along with the price. This is considered to be a good technical signal. Some negative signals were issued as well, and these may have some influence on the near short-term development. Select Comfort Corporation 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 salessignal in the stock. On further gains, the stock will meet resistance from the long-term moving average at USD 22.29. On a fall, the stock will find some support from the short-term average at USD 20.63. 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)
The stock currently holds a RSI14 at 27 and is oversold on RSI14. The stock being oversold is no guarantee for instant reaction up as some stocks may be oversold for a long time. It is important to review the previous RSI-history to get an indication of the RSI-sensitiveness.
Support & Resistance
On the downside, the stock finds support just below today's level from accumulated volume at USD 19.51 and USD 19.29. On the upside the stock meets some resistance from accumulated volume at USD 21.79, USD 22.61 and USD 23.11.
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, Select Comfort Corporation finds support just below today's level at 19.51. If this is broken, then the next support from accumulated volume will be at 19.29 and 19.17.
This stock may move much during a day (volatility) and with a large prediction interval from the Bollinger Band this stock is considered to be "high risk". During the last day, the stock moved USD 0.76 between high and low, or 3.77%. For the last week, the stock has had a daily average volatility of 3.93%.
Select Comfort Corporation is oversold on RSI14 (27). Some stocks may drop long and hard while being oversold on RSI before turning, which increases the general risk.
Our recommended stoploss: USD 19.65 (-4.84%) ( criteria: risk and closeness to support from trendline.)
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. We have upgraded our recommendation for this stock since last evaluation from a Sell Candidate to a Buy Candidate.