This week could further accelerate the downside of Confinvest stock

The last time we dealt with this title, the war between Russia and Ukraine had given him wings. In the following weeks, however, things went differently and the trend turned to the downside. Now, then, this week could further accelerate the downside of the Confinvest stock.

There are two factors that contributed to the weakness of Confinvest’s prices. As described in the gold report, the precious metal’s weakness is linked to some specific factors. On the one hand, the strength of the dollar, which seems to have no limits. Suffice it to say that the dollar index has reached levels that it has not seen for about 20 years. Additionally, the Fed’s rate hike caused a pause on a possible rise in the price of gold.

On the corporate side, however, the data relating to the 2021 financial statements were not very good. The company ended the year with revenues down to € 30.2 million, compared to the € 41.1 million obtained in 2020. The final result was negative for € 100,000, down from the profit of € 819,000. accounted for in 2020. At the end of 2021 the net financial position was positive for 1.05 million euros, compared to 2.72 million euros at the beginning of the year.

Warnings on Confinvest stock

Before concluding, we remind you that the average daily exchanges, except in situations of excess, correspond to just under 10,000 euros. A very small amount for which the stock could face violent price hikes that increase the risk of capital loss for investors. However, trades reduced to a flicker do not translate into a high probability of having trading sessions without trades. At present, in fact, this probability is quantified as 2.5%.

However, the volatility is not negligible. In fact, in the last 3 months, the Confinvest stock was more volatile than 75% of Italian stocks. In fact, in a week, its range of fluctuation is equal to +/- 8%.

This week could further accelerate the downside of the Confinvest stock: the indications of the graphical analysis

The title Confinvest (MIL: CFV) closed the session on 9 May at € 1.985, down by 5.02% compared to the previous session.

Weekly time frame

The current situation is bearish and a weekly close below € 1,995 could open the door to a bearish acceleration towards the 1st price target in the € 1.30 area. This level, then, could represent a further turning point for Confinvest shares which in the event of a weekly close below this level could start for a further decline of at least 50%.

For an immediate resumption of the rise, however, it would be necessary to wait for a weekly closing above 2.42 euros.

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The results of the forecasts in this article are based on statistical calculations explained in the ebooks published by ProiezionidiBorsa and processed on the basis of the available price history. (We also remind you to carefully read the warnings regarding this article and the author’s responsibilities, which can be consulted HERE”)

We remind you to carefully read the warnings regarding this article and the author’s responsibilities, which can be consulted HERE”)

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