Strategy published on : 08/08/2017 | 09:42
short sellStop-loss triggered
Entry price : 123.9€
Target : 117€
Stop-loss : 127€
Potential : 5.57%
Close to the technical resistance level of the current trading range, stocks in Solvay should consolidate over the coming trading sessions and move back towards their support based on daily closing prices in the short term.
Investors should open a short trade and target the € 117.
● The company has solid fundamentals for a short-term investment strategy.
● The group usually releases upbeat results with huge surprise rates.
● For the last week, the earnings per share forecast has been revised upwards. According to recent estimates, analysts give a positive overview of the stock
● Analysts remain confident with respect to the group's activity and, more often than not, have revised upwards their earnings per share estimates.
● Within the weekly time frame the stock shows a bullish technical configuration above the support level at 110.15 EUR
● The share is close to its long-term resistance in weekly data. Therefore, the potential should be limited. However, a further bullish movement when crossing this resistance will be a positive signal.
● The stock is currently in contact with a medium-term resistance that must be gotten rid of so as to resume the upward trend.
● According to forecast, a sluggish sales growth is expected for the next fiscal years.
● For the last twelve months, sales expectations have been significantly downgraded, which means that less important sales volumes are expected for the current fiscal year over the previous period.