News        Sectors        Watchlists

Fox Corporation (FOXA)

Fox stock forecast: buy or sell

Close on Sep 25th, 2020
$26.7 0.02%
3 months performance
0.04%
Published: September 27th, 2020 - 16:56

Fox stock outlook

  • Fox closed on Friday at $26.70 after rising a 1.91% breaking a streak of 5 sessions in positive.
  • The stock is configuring an uptrend pattern since early May, when it bottomed at $23.38. This uptrend marked a 14.2% gain
  • Fox Corporation operates as a news, sports, and entertainment company in the United States.

Please read:
The viewpoints contained in this post are personal and not recommendations for you to buy or sell stocks. The author of this report does not have any knowledge of the specific positions of the reader, his or her own 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 Comments are posted for education reasons only

Fox stock charts

Should I buy Fox 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 FOXA stock a buy?

Currently, Fox stock matches one trading strategy:

Uptrend buy setup

Fox stock continues to trend higher since in early May and marked an amazing 14.2% gain. Price marked a pull back in this uptrend at $25.57 on Thursday, and since then it bounced off a 4.42%. Breaking out above $29.92 - it's last top - will be a good entry point if Fox resumes the uptrend. If you decide to enter this trade, the suggested stop loss is at $26.93

Buy setupBuy pointStop lossRisk
Uptrend buy setup$29.92$26.9310%

Should I sell Fox stock?

When is it time to sell Fox stock?. Similarly to when we have to buy shares, determining when is the best time to sell is not a whimsy decision, and we must follow our own trading strategy. We like very simple setups to guide us on when is the best moment to sell a stock. Be aware that these setups are not intended for shorting FOXA stock

As a golden rule, you must never keep an open trade that shows a greater losses than those expected at the time of the buy. When to sell your stock should always be ruled by the stop-loss (automatic or manual)

Is it time to sell Fox stock?

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

Analysts' recommendations to buy or sell Fox 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 month for Fox

Technical analysis

Since in early May, Fox has been drawing an uptrend that so far marked an amazing 14.2%. During this uptrend, the price provided some buy points on the breakouts. Latest low was on Thursday, when price bounced at $25.57. Like in all uptrends, price needs to take breath and now price is moving in a range between $29.92 and $25.57

SMAs overview

Moving averages are simple tools for investors to detect market momentum. A moving average is calculated as the simple mean of the previous N periods (usually sessions). 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

FOXA SMAs chart

Supports and resistances

Technical analysts use support and resistance levels to spot price points on a chart that tend to behave as glass ceiling, preventing the price of a stock to move up or down. Supports are levels where the price tends to find support as it falls. Price is more likely to "rebound" this level rather than break through it. Nevertheless, if the price breaks down the support, it will probably continue descending until approaching another support level. On the other hand, a resistance level is where the price tends to find resistance as it rises. In the same manner, the price is more likely to "rebound" at this level, and if it finally ruptures this level, the price will climb more easily until it finds the next resistance

The current resistances are:

  • R1: $26.89 (0.71% above)
  • R2: $27.15 (1.69% above)
  • R3: $28.38 (6.29% above)
  • The current support levels are:

  • S1: $25.57 (-4.23% below)
  • S2: $23.98 (-10.19% below)
  • S3: $23.73 (-11.12% below)
  • Bollinger bands

    This is an indicator that was designed in the 1980s by John Bollinger. The Bollinger Bands are bands that fluctuate around a centralmoving average and vary the distance from the bottom to the top depending on market volatility. They are usually drawn by an offset of two standard deviations, above and below, from a moving average line. Bollinger himself recommends the moving average period to be 20

    Since the price surpassed the upper band on September 16, the price corrected downwards by 10.76%. Since the price broke down the lower band on Thursday, the price rebounded by 4.42%. The price is moving near to the lower Bollinger band, poiting some level of oversold in recent sessions. This is not a buy signal, as price can trade in these levels for many days and weeks

    FOXA RSI chart

    Relative strength index

    The relative strength index (RSI) is a technical indicator used in the analysis of stock markets. It is intended to map the current and historical strength or weakness of a stock or market based on the closing prices of a recent trading period. Like other oscillation indicators, the RSI fluctuates in a range between 0% and 100%. The relative strength indicator is one of the best known and most widely used indicators, invented by J. Welles Wilder in 1978

    The RSI dropped below the overbought level of 70 on September 17 after just crossing to the overbough zone for a single day (weak signal). The RSI value on Friday was 46.15. Fox stock tanked a 9% since RSI lost the overbought zone

    FOXA RSI chart

    Earnings and financials

    Fox hosted the quarterly financial event and released the second-quarter report in early August. Fox surpassed consensus earnings estimates and reported earnings of %s per-share of $0.62, that is a 8.77% better than expected compared to the initial predictions of $0.57. Reported revenues were $2.4 billion compared to estimates of $2.4 billion.

    This compares to earnings of $0.62 per share a year ago, so current EPS is 0%. Looking at revenues, figures slightly changed compared to $2.5B same quarter last year.

    Fox is hosting the quarterly earnings call on early next November. Analysts expect a per-share earnings of %s of $0.60, that is a 3.23% less than previous quarter. Financial reporting day has an additional risk for stock investors as the data posted can jump up or down the price with exceptionally low liquidity and not respecting your buy/stop-loss orders. It's always good to review company's website to confirm time and details on the earnings call and the earnings report.

    FOXA revenues and profits chart