IBM stock: buy or sell
Jan 16th, 2021
IBM stock brief
- IBM closed on Friday at $128.39 after barely changing a -0.45%.
- IBM is presenting its earnings report on Tuesday
- On Thursday broke out above its latest top at $127.69
- International Business Machines Corporation provides integrated solutions and services worldwide.
Should I buy IBM stock?
All successful traders recommend adhering to a trading strategy and not make decisions based on subjective opinions, rumors or feelings. 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 $IBM stock a buy?
In the current situation of IBM there is not any eligible buy setup. This doesn't mean we expect a selloff for $IBM in the next few days, or that it may not rise higher. Simply, it doesn't match our recommended trading systems
Should I sell IBM stock?
Knowing when to sell a stock is even harder than knowing when to buy it. As when we have to buy shares, choosing when is the best time to sell is not a whimsical decision, and we must use our own trading style. When selling, as well as buying, detailed strategies are very easy to follow but are only valid for selling stocks you already own, not for shorting IBM stock
A guiding principle is that you must never keep a trade that shows a losses greater than those expected by the time of the buy. The timing to sell shares always has to be ruled by the stop-loss (automatic or manual)
Is it time to sell IBM stock?
Currently, IBM stock doesn't match any of our preferred sell setups, so if you hold IBM shares and your operation is in profit probably is not time to sell now
In the last 30 days we couldn't find any rating for IBM
IBM stock analysis
Supports and resistances
The current resistances are:
The current supports are:
Since the price surpassed the upper band on January 8, the price corrected downwards by 0.72%. The price is moving very close to the upper Bollinger band, signaling some level of overbought in recent sessions. This is not a bearish indicator, as price can move in these levels for many days and weeks
Relative strength index
When the stays for so long below 70 and above 30, without showing moments of overbought and oversold, the indicator loses its usefulness, and we are now in one of these situations.
IBM stock price history
IBM went public on Jan 2nd, 1962 priced at $1.87 per share1. Since then, IBM stock has risen by 6,765.78%, with an average of 114.67% per year. If you had invested thousand dollars in IBM stock on the IPO, it would be valued $68,657.75 today.
1: Adjusted price after possible price splits or reverse-splits
Price target for IBM stock
Nobody can predict how much a stock will be priced tomorrow. However, many stock price forecasts are posted every day by banks, financial institutions and independent analysts.
Along with buy or sell recommendations, brokerage institutions publish their price target based on the stock price action and the company fundamental data. Most of these forecasts follow the publication of new financial information by the company, and many times. Again, these forecasts are not direct recommendations for individual investors and must not be trusted blindly.
We don't have any target price posted in the previous 4 weeks for IBM.
Earnings and financials
IBM ($IBM) is presenting financial report on Tuesday. Market forecasts of $1.79, compared to previous quarter that was $2.58.
You must remember that the price action after the earnings release date usually has a higher volatility that may not respect your stop-loss orders.. You can probably find more details about the earnings call and the financial reports on the Investor Relations section of its website: http://www.ibm.com.
Shareholders call was hosted by IBM ($IBM) last October after presenting the earnings report. IBM posted earnings of $2.58 per share on sales of $17.6 billion. The market estimate was $2.58 per share on revenue of $17.5 billion.This compares to Earnings of $2.68 per share same quarter last year, so posted EPS is a loss of -3.73%. Looking at turnover, figures slightly moved compared to $180.3B same quarter 12 months ago.
Disclaimer:The opinions expressed in this article are personal and not recommendations for you to buy or sell stocks. The author of this paper does not know the particular circumstances of the reader, his or her finances or his or her own best interests at any given time. All users should speak with their financial advisor before buying or selling any securities Comments are provided for education reasons only
|Friday, January 15th, 2021|
|Day range||$127.67 - $129.24|
|Average true range||$2.91|
|50d mov avg||$122.81|
|100d mov avg||$121.00|
|200d mov avg||$119.99|
|Earnings date||January 19th, 2021|