LYB stock: buy or sell
Jan 27th, 2021
LYB stock brief
- Counting on Tuesday, it's been 4 consecutive sessions in red for LyondellBasell. Price closed on Tuesday at $87.89 after falling a -2.32%.
- LyondellBasell is presenting its earnings report on Friday
- The stock is configuring an uptrend pattern since last October, when it bottomed at $65.94. This uptrend marked a 33.29% gain
- JPMorgan Chase & Co. published a hold rating for LyondellBasell last Friday, forecasting $104.00
- LyondellBasell Industries N. V. operates as a chemical company in the United States, Germany, Mexico, Italy, France, Japan, China, the Netherlands, and internationally.
Should I buy LyondellBasell 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 $LYB stock a buy?
Currently, LyondellBasell 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 $LYB in the next few days, or that it may not rise higher. Simply, it doesn't match our recommended trading systems
Should I sell LyondellBasell stock?
How to know when is it time to sell LyondellBasell stock?. Trading strategies give us the ability us to avoid impetuous decisions based on our personal moods or the buzz that surrounds the market. When selling, as well as buying, our strategies are very easy to follow and are only valid for selling stocks you already own, not for shorting LyondellBasell stock
A guiding principle is that you should not hold a trading operation that leads to losses greater than those expected at the time of purchase. The moment to sell your stock must always be ruled by the stop-loss (automatic or manual)
Is it time to sell LyondellBasell stock?
In the current situation of LyondellBasell there is not any eligible sell setup, so LyondellBasell stock holders with operations in profit can keep their positions
Price lost SMA50 level
LyondellBasell stock gained a 22.19% in a month during the time it was above the 50-d MA. Nonetheless that upward trend may be over, or be showing some signs of weakening, since the price fell below that moving-average level on Tuesday. For medium-term investors who profited from the stock during the time the price was above the average, this flag should be a heads up and a reason to sell the shares and cash in on their profits
In the last month, 3 analyst ratings were published for LyondellBasell. General sentiment is bearish, with 2 out of 3 publishing negative outlooks for the mid and long term
|Jan 6th, 2021|
|BNP Paribas||Neutral → Sell|
|Exane BNP Paribas||Neutral → Sell|
|Jan 22nd, 2021|
|JPMorgan Chase & Co.||Neutral|
LyondellBasell stock analysis
Since last October, LyondellBasell has been drawing an uptrend that so far marked an amazing 33.29%. The price shows higher tops and bottoms, and along the way provided very few entry points for those who wanted to trade in. Latest low was in early December, when price bounced at $84.64. Now, it moves in a consolidation between its last top ($99.86) and its last bottom ($84.64)
Supports and resistances
The current resistance levels are:
The current support levels are:
Since the price surpassed the upper band on January 12, the price corrected downwards by 11.63%. The price is trading near to the lower Bollinger band, poiting some level of oversold in recent sessions. This is not a bullish indicator, as price can trade in these levels for many days and weeks
Relative strength index
The RSI dropped below the overbought level of 70 on January 13 after just crossing to the overbough zone for a single day (weak signal). The RSI value on Tuesday was 40.11. LyondellBasell stock dropped a 11.41% since then
LyondellBasell stock price history
LyondellBasell IPO was on Apr 28th, 2010 at $10.46 per share1. Since then, LYB stock has risen by 740.25%, with an average of 74.03% per year. An investment of $1,000USD on the IPO would have a value of $8,402.49 nowadays.
1: Adjusted price after possible price splits or reverse-splits
Price target for LyondellBasell stock
How much a stock will be priced tomorrow or next week is quite unpredictable. However, many stock price predictions are issued every day by banks, financial institutions and independent analysts.
Along with buy or sell recommendations, brokerage institutions publish their price predictions based on the stock price action and the company fundamental data. Most of these forecasts follow the release of new fundamental information by the company, and many times. If you are a small investor you don't have to trade based on these projections.
There are 3 price forecasts posted for LyondellBasell that average $88.00. LyondellBasell closed at $87.89 on Tuesday, so the target price is predicting an increase by 0.13%.
|Brokerage firm||Price target|
|Jan 6th, 2021|
|Exane BNP Paribas||$80.00|
|Jan 22nd, 2021|
|JPMorgan Chase & Co.||$85.00 → $104.00|
Earnings and financials
LYB ($LYB) posts Q4 financial report on Friday. Expected for this quarter is $1.36, compared to $1.27 that was reported for Q3.
You must remember that the price action after the financial report release date usually has a higher volatility that may not respect your stop-loss orders.. Check company's website to confirm time and details about the earnings call and the earnings report.
LyondellBasell Industries N.V. ($LYB) reported quarterly earnings of $1.27 per share last October, upping the Market consensus estimate of $1.12 per share. This Q3 report represents an earnings surprise of 13.39%. On the contrary, the company reported turnover for this quarter was $6.8 billion in line with the market estimates.Same quarter last year, reported EPS was $2.70, so current EPS is a loss of -52.96%. Turnover tanked a -22.31% on an annualized basis in the , from $87.2B to $67.8B last quarter.
Important note:The thoughts written in this post are personal and not recommendations for you to buy or sell stocks. The author of this article does not have an understanding of the particular circumstances of the reader, his or her own 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 published for educative motives only
|Tuesday, January 26th, 2021|
|Day range||$87.65 - $91.74|
|Average true range||$3.88|
|50d mov avg||$89.10|
|100d mov avg||$81.23|
|200d mov avg||$71.38|
|Earnings date||January 29th, 2021|