Wednesday, May 04, 2016 4:46:02 PM
Is this stock ready to run [LOWE]?
Technical commentary:
Lowe's Companies Inc fell by Lowe's Companies Inc falling-0.56% last day from USD 76.14 to USD 75.71. In the last 10 days the price of Lowe's Companies Inc has been rising a total of 6 out of 10 days, but is still down by Lowe's Companies Inc falling-0.92% in this period. Volume fell in the last day along with the stock, which is actually a good sign as volume should follow the stock. In the last day the trading volume fell by Lowe's Companies Inc falling-1,23 million shares and in total there were 3,01 million shares bought and sold for approx. USD 228,19 million.
Trend
Lowe's Companies Inc lays in the lower part of a strong rising trend in the short term, and this will normally pose a very good buying opportunity. A break down the bottom trendline at USD 75.39 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 Lowe's Companies Inc gaining18.8% during the next 3 months and with 90% probability will hold a price between USD 89.55 and USD 96.46 at the end of this period.
Signals
Lowe's Companies Inc holds a sales signal from the short-term moving average, but at the same time 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 approx. currency 76.10. On a fall the stock will find some support from the long-term average at approx. USD 75.70. A break-up through the short term average will give a buy signal, whereas a breakdown through the long-term average will give a sales signal. A buy signal was issued from a pivot bottom point at Thu. 28 April 2016 and this indicates further gains until a new top pivot has been found. Some negative signals issued as well, and these may have some influence on the near short-term development. Volume fell together with the price during the last trading day, and this reduces the overall risk as volume should follow the price movements.
The stock had a Golden Cross Signal at Wed. 30 September 2015 in the mediumterm chart.
* Golden Cross Signal is when the shortterm moving average, the longterm moving average and priceline meets in a special combination. This combination is very rare and are often followed by long and strong gains for the stock in question.
Relative Strenght Index (RSI)
RSI14 is 43 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 68.62 and USD 67.90 On the upside the stock meets some resistance just above today's level from accumulated volume at USD 76.02, USD 76.19 and USD 76.50.
There is natural risk involved when a stock is testing a support level, as if this is broken the stock may fall to the next support level. In this case Lowe's Companies Inc finds support just below today's level at 68.62. If this is broken the next support from accumulated volume will be at 67.90 and 63.55. The stock is about to test the resistance from accumulated volume at USD 76.02 and this may cause the stock to take a minor break or get into a more sideways move for a few days.
Risk
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 0.95 between high and low, and this equals 1.26%. For the last week the stock has had a daily average volatility of 1.98%.
Evaluation
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 from Hold/Accumulate to Weak Buy Candidate since last evaluation.
Our short term conclusion: Weak Buy Candidate
Full analysis here
Technical commentary:
Lowe's Companies Inc fell by Lowe's Companies Inc falling-0.56% last day from USD 76.14 to USD 75.71. In the last 10 days the price of Lowe's Companies Inc has been rising a total of 6 out of 10 days, but is still down by Lowe's Companies Inc falling-0.92% in this period. Volume fell in the last day along with the stock, which is actually a good sign as volume should follow the stock. In the last day the trading volume fell by Lowe's Companies Inc falling-1,23 million shares and in total there were 3,01 million shares bought and sold for approx. USD 228,19 million.
Trend
Lowe's Companies Inc lays in the lower part of a strong rising trend in the short term, and this will normally pose a very good buying opportunity. A break down the bottom trendline at USD 75.39 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 Lowe's Companies Inc gaining18.8% during the next 3 months and with 90% probability will hold a price between USD 89.55 and USD 96.46 at the end of this period.
Signals
Lowe's Companies Inc holds a sales signal from the short-term moving average, but at the same time 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 approx. currency 76.10. On a fall the stock will find some support from the long-term average at approx. USD 75.70. A break-up through the short term average will give a buy signal, whereas a breakdown through the long-term average will give a sales signal. A buy signal was issued from a pivot bottom point at Thu. 28 April 2016 and this indicates further gains until a new top pivot has been found. Some negative signals issued as well, and these may have some influence on the near short-term development. Volume fell together with the price during the last trading day, and this reduces the overall risk as volume should follow the price movements.
The stock had a Golden Cross Signal at Wed. 30 September 2015 in the mediumterm chart.
* Golden Cross Signal is when the shortterm moving average, the longterm moving average and priceline meets in a special combination. This combination is very rare and are often followed by long and strong gains for the stock in question.
Relative Strenght Index (RSI)
RSI14 is 43 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 68.62 and USD 67.90 On the upside the stock meets some resistance just above today's level from accumulated volume at USD 76.02, USD 76.19 and USD 76.50.
There is natural risk involved when a stock is testing a support level, as if this is broken the stock may fall to the next support level. In this case Lowe's Companies Inc finds support just below today's level at 68.62. If this is broken the next support from accumulated volume will be at 67.90 and 63.55. The stock is about to test the resistance from accumulated volume at USD 76.02 and this may cause the stock to take a minor break or get into a more sideways move for a few days.
Risk
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 0.95 between high and low, and this equals 1.26%. For the last week the stock has had a daily average volatility of 1.98%.
Evaluation
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 from Hold/Accumulate to Weak Buy Candidate since last evaluation.
Our short term conclusion: Weak Buy Candidate
Full analysis here
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