Barnwell Industries Inc. (BRN)

BRN stock forecast: buy or sell

BRN stock outlook

  • Barnwell Industries closed today at $0.99 (8.79%) prior to presenting financial results at
  • The stock is configuring an uptrend pattern since late March, when it bottomed at $0.30. This rally marked a 230% gain
  • Barnwell Industries, Inc. acquires, develops, produces, and sells oil and natural gas in Canada. It operates through three segments: Oil and Natural Gas, Land Investment, and Contract Drilling.
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Please read:
The viewpoints expressed in this article are personal and should not be followed as recommendations for you to buy or sell shares. The author of this article does not have an understanding of the individual scenarios of the reader, his or her finances or what is in his or her best interest at any given time. All users should speak with their financial advisor before buying or selling any securities Thoughts are published for educative purposes only

BRN stock chart overview

Should I buy Barnwell Industries stock?

Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best moment to buy them. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best

Is BRN stock a buy?

Currently, Barnwell Industries stock doesn't match any of these trading strategies, so our recommendation is not to buy now. This doesn't mean we expect a selloff for BRN in the next few days, or that it may not rise higher. Simply, it doesn't match our recommended trading systems

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Should I sell Barnwell Industries stock?

Knowing when to sell a stock is even harder than knowing when to buy it. In the same way as when we have to buy shares, determining when is appropiate time to sell is not a capricious decision, and we must adhere our own trading style. When selling, as well as buying, detailed strategies are very easy to use but are only valid for selling stocks in your porfolio, not for selling short BRN stock

A golden rule is that you should never hold an operation that generates greater losses than those expected upon the buy. When to sell your stock always has to be ruled by the stop-loss (automatic or manual)

Is it time to sell Barnwell Industries stock?

In the current situation of Barnwell Industries there is not any eligible sell setup, so Barnwell Industries stock holders with operations in green can keep their positions

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Analysts' recommendations to buy or sell Barnwell Industries stock

Brokerage firms and financial institutions post stock ratings based on their views of the market and the fundamental and technical situation of the analyzed stock. Unfortunately, the accuracy of these predictions is not very high, and certainly not a direct buy or sell signal

We don't have any rating published in the last 30 days for Barnwell Industries

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Technical analysis

Barnwell Industries stock started an uptrend in late March, and gained a gorgeous 230%. The price shows higher peaks and higher lows, and along the way provided some entry points for those who wanted to trade in. Latest pullback was in early June, when price bounced at $0.55. Currently, the price moves in a consolidation between its last top ($2.10) and its last bottom ($0.55)

SMAs overview

Moving averages are simple indicators for traders to detect direction. A moving average is the average price of a stock over a set period of time. Moving averages are usually calculated on different periods depending on the trading timeframe 21, 50, 100 and 200 days are the most usual moving averages

Supports and resistances

Market investors use supports and resistances as a way to spot price points in the stock price action that tend to behave as glass ceiling, preventing the price of a stock to move up or down. A support level is a level where the price may stop as it falls. Price is more likely to "rebound" this level rather than break through it. However, if the price breaks down this level, it is likely to continue declining until finding another support level. On the other hand, resistance levels are where the price may find opposition as it moves up. Again, the price is more likely to "rebound" at this level, and if it finally breaches this level, the price will rise more easily until it hits the next resistance

The current resistance levels are:

  • R1: $1.02 (3.03% above)
  • R2: $1.03 (4.04% above)
  • R3: $1.06 (7.07% above)
  • The current supports are:

  • S1: $0.95 (-4.04% below)
  • S2: $0.95 (-4.04% below)
  • S3: $0.94 (-5.05% below)
  • Bollinger bands

    This is an indicator that was introduced in the 1980s by John Bollinger. It is composed of 3 bands that are outlined superimposed on the price evolution chart:

    • The central band is a moving average, usually a simple moving average calculated with 20 periods
    • The upper band is calculated by adding to the value of the simple moving average 2 times the standard deviation of the moving average
    • The lower band is calculated by subtracting from the simple moving average 2 times the standard deviation of the moving average

    Relative strength index

    The relative strength index (RSI) is a technical indicator used in the analysis of financial markets. It is intended to chart the current and previous strength or weakness of a stock or market based on the closing prices of a recent trading period. Oscillator indicators, such as relative strength, are intended to indicate values in the range of 0-100. J. Welles Wilder introduced the relative strength indicator in 1978 and since then it has been widely used by stock traders

    The RSI dropped below the overbought level of 70 on June 26 after just crossing to the overbough zone for 1 day (weak signal). The RSI reading today was 55.53. Barnwell Industries stock sank a 19.51% since that level was lost

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    Earnings and financials

    On June 23, BRN had the quarterly earnings event and posted the Q2 report.

    For comparison, the EPS for the same quarter last year was $-0.16, so current EPS means a increase of 100%. Looking at revenue, figures exploded a 54.8% compared to $3.0M same quarter 12 months ago.

    BRN will host the quarterly earnings call. If you own or you are considering buying BRN shares, you must be careful as financial reporting day usually has a very high volatility, and price can soar and sink with very low liquidity and not respecting your buy/stop-loss orders. You can probably obtain more details about the earnings call and the earnings reports on the Investor Relations section of its website: http://www.brninc.com.

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