RANDGOLD RESOURCES : Strong downward movement
Entry price | Target | Stop-loss | Potential |
---|
GBX 3,768 |
GBX 0 |
GBX 3,910 |
+100% |
---|
The downward movement seems to continue toward GBp 3415.
From a fundamental viewpoint, the group is in a bad financial situation. Analysts have recently downgraded their forecasts for earnings per share. From USD 6.5 at the beginning of the year, analysts are expecting around USD 3 for the current year. This indicator is often a precursor of a declining profitability and a worsening climate of investors' confidence.
Technically, the share is in a downward trend. The moving averages are decreasing and are still above prices, thereby stopping any rebounds. The security is going toward the GBp 3415 support, a level that will represent the main target.
Therefore, we could take a short position to benefit from the downward trend. The security could quickly go toward the mid-term support area located at GBp 3415. A stop loss will be placed on the GBp 3895 first pivot point. If this threshold is crossed, this bearish strategy will be null.
The content herein constitutes a general investment recommendation, prepared in accordance with provisions aimed at preventing market abuse by Surperformance, the publisher of MarketScreener.com. More specifically, this recommendation is based on factual elements and expresses a sincere, complete, and balanced opinion. It relies on internal or external data, considered reliable as of the date of their release. Nevertheless, this information, and the resulting recommendation, may contain inaccuracies, errors, or omissions, for which Surperformance cannot be held responsible. This recommendation, which in no way constitutes investment advice, may not be suitable for all investor profiles. The reader acknowledges and accepts that any investment in a financial instrument involves risks, for which they assume full responsibility, without recourse against Surperformance. Surperformance commits to disclosing any conflict of interest that may affect the objectivity of its recommendations.