GoldCorp Inc. acquires, explores for, develops, and operates precious metal properties in Canada, the United States, Mexico, and Central and South America. It primarily explores for gold, silver, lead, zinc, and copper deposits. The company’s principal producing mining properties include the Eleonore, Musselwhite, Porcupine, and Red Lake mines in Canada; the Penasquito mine in Mexico; the Cerro Negro mine in Argentina; and the Pueblo Viejo mine in the Dominican Republic.
Technical stock analysis for Wed 27’th Jun 2018
| Shorts | 2.30% ( 2018-05-31 ) |
| Cash | 318.0 mill |
| Loans | 5 636.0 mill |
| Beta | 0.07 |
| ROA | 2.78 |
Goldcorp Inc fell by -1.26% in the last day from $13.44 to $13.27 and has now fallen 4 days in a row. The price has fallen in 7 of the last 10 days and is down by -6.48% for this period. Volume has increased in the last day by 0.20 million shares, but on falling prices. This may be an early warning and the risk will be increased slightly for the next couple of days. In total, 4.08million shares bought and sold for approximately $54.13 million.
Trend
Goldcorp Inc is the lower part of a horizontal trend on short term, and normally this would pose a good buying opportunity, though a break down through the bottom trend line at $13.16will give a strong sales signal and a trend shift may be expected. Given the current horizontal trend you can expect Goldcorp Inc with 90% probability to be traded between $12.99 and $14.10 at the end of this period with 90% probability. A break of a horizontal trend is often followed by a large increase in the volume, and stocks seldom manage to go directly from the bottom of a trend up to the roof. Stocks turning up in the middle of a horizontal trend are therefore considered to be potential runners.
Signals
There are few to none technical positive signals at the moment. Goldcorp Inc holds sales signals from both short- and long-term moving averages. In addition, there is a general sales signal from the relation between the two signals where the long-term average is above the short-term average. On corrections up there will be some resistance from the lines at $13.52 and $13.86. A break-up above any of these levels will issue buy signals. A sales signal was issued from a pivot top point on Friday June 22, 2018, 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.
Relative Strength Index (RSI)
The stock currently holds a RSI14 at 29 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
There is no support from accumulated volume below today’s level and given the right condition the stock may perform very badly in the next couple of 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 $0.25 (1.89%) between high and low. For the last week, the stock has had a daily average volatility of 1.83%.
Goldcorp Inc is oversold on RSI14 (29). Some stocks may drop long and hard while being oversold on RSI before turning, which increases the general risk.
My recommended stoploss: I hold a sell evaluation for this stock. No stop-loss set.
Overall risk: Low
Evaluation
Goldcorp Inc holds several negative signals and is within a falling trend, so we believe it will still perform weakly in the next couple of days or weeks. We therefore hold a negative evaluation of this stock.