Pfizer Inc. (PFE)
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
In the current situation of Pfizer there is just one buy setup eligible:
Pfizer stock continues to trend higher since last March and has marked an amazing 39.65% gain. Price marked a local bottom in this uptrend at $35.38 in mid-September, and since then it bounced up a 7.91%. Now, it's only 2.41% away from breaking out above its last top and resume the uptrend. The new buy point is therefore at $39.10. If you decide to enter this trade, the suggested stop loss is at $35.19
|Buy setup||Buy point||Stop loss||Risk|
|Uptrend buy setup||$39.10||$35.19||10%|
Knowing when to sell a stock is even harder than knowing when to buy it. Trading strategies prevent us from making impetuous decisions based on our emotions or the noise surrounding the market. When selling, as well as buying, our setups are very easy to use but are only valid for selling stocks you already own, not for selling short $PFE stock
As a golden rule, you must never hold a trading operation that results in higher than expected losses upon purchase. When to sell shares always has to be dictated by the stop-loss (automatic or manual)
In the current situation of Pfizer there is not any eligible sell setup, so Pfizer stock holders with operations in green can keep their positions
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
In the last month, 3 analyst ratings were published for Pfizer
|Sep 29th, 2020|
|Oct 12th, 2020|
|Atlantic Securities||Buy → Neutral|
|Oct 23rd, 2020|
Since last March, Pfizer has been drawing an uptrend that so far marked a gorgeous 39.65%. The price line shows higher peaks and higher lows, and along the way provided some buying opportunities for those who wanted to enter. Latest pullback was in mid-September, when price bounced at $35.38. Like in all uptrends, price needs to rest and now price is moving in a range between $39.10 and $35.38
A favorite tool of many technical analysts are the moving averages, that easily show trend direction. 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
Technical analysts use supports and resistances to identify price points in the stock price action that tend to work as barriers, containing the price of shares to move up or down. Supports are levels where the price may find support as it falls. Price is more likely to "rebound" this level rather than break through it. However, if the price breaks down the support, it is likely to continue falling until finding another support level. In contrast, a resistance level is where the price tends to find a curb as it rises. In the same manner, this means that the price is more liable to "bounce off" at this level, and if it finally crosses this level, the price will climb more easily until it approaches the next resistance
The current resistance levels are:
The current supports are:
This is an indicator that was introduced in the 1980s by John Bollinger. Fundamentally, the Bollinger Bands are lines that run around a moving average, varying the distance from the bottom to the top depending on market volatility. They are usually plotted 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
When the price moves out of the band (above the upper line or below the lower line) it shows that the price action is having a very strong trend and therefore can correct the trend to the average. For this case, the price is beyond the upper band, which should mean a possible near-term corrective movement (at least) until it is below the band
The Relative Strength Index is an oscillator-type indicator that measures price movements to reveal when the price of a share or financial asset is oversold or overbought. Oscillator indicators, such as relative strength, are designed to indicate values in the range of 0-100. The relative strength indicator is one of the best known and most widely used indicators, invented by J. Welles Wilder in 1978
When the RSI stays for so long below 70 and above 30, without indication of overbought and oversold, the indicator becomes of little use, and we are now in one of these cases.
Pfizer ($PFE) is hosting the quarterly earnings call on Tuesday next week. Forecasted earnings per-share for this quarter is $0.71, compared to $0.78 that was reported for Q2. Turn over estimates are $12.3 billion.
Stocks presenting earnings usually show a much higher volatility in price action during after-hours trading and the session after. This volatility may imply that your stop-loss orders may become useless or may trigger far from your aimed price. Pfizer's website probably has further details.
In late July, Pfizer Inc. ($PFE) posted EPS for FQ2 that strongly surpassed Market expectations. Quarterly EPS was $0.78 per share instead of $0.66. This quarterly report represents an earnings surprise of 18.18%.In contrast, the EPS for the same quarter last year was $0.80, so posted EPS means a drop of -2.5%.