Celanese Corp. (NYSE: CE) shares rose in value Wednesday Nov 30 with slower trade volume than normal after a number of analysts weighed in on the investing value of the stock with a upgraded rating.
Meanwhile, the Dow Jones Industrial Average hit an intraday record after opening higher Wednesday, led by the energy sector as hopes rose that the world’s major oil producers are near a deal on limiting output.
The benchmark S&P 500 and Dow were on track to post their largest monthly gains since March.
The S&P 500 SPX, +0.22% gained 5 points, or 0.2%, to 2,209. The Dow Jones Industrial Average DJIA, +0.41% added 62 points, or 0.3%, to 19,184, trading in record territory. The Nasdaq Composite COMP, -0.08% was 7 points, or 0.1%, higher at 5,386.
Analysts at Goldman Sachs Group Inc. upgraded shares of Celanese Corp. (NYSE: CE) from Neutral to Buy today. With a rating of Buy on the shares, the company has a 52-week high of $79.98. The one-year price target of $78.39 is less than the opening price of $79.25, causing a fair amount of other analysts to report on the stock recently. Share prices often shift to the upside on recommendations and new price targets of professional brokerage firms.
Celanese Corp. (NYSE: CE) shares last traded at $79.67, a spike of $2.51 or 3.25% from the previous closing price. Opening at $79.25, they varied from $78.76 and $79.98 throughout the day.
Celanese Corp. (NYSE: CE) currently has a market cap of 11.41B.
Celanese Corp. (NYSE: CE) Average Daily Trading Volume
The stock’s average daily volume is 1,076,760 shares out of a total float 134,046,000 and some 152,440 shares crossed the trading desk yesterday, below normal. Trading volume is likely to increase in the next few days as momentum traders often use upticks in trading volume to identify heavy volume growth or circulation by institutional investors.
While an increase in trading for short periods will not mean much, conversely, a trend of heavy trading volume on the buy side over a series of days or weeks expresses a positive signal to market traders that institutions may be moving in, so institutional sponsorship is crucial.
Institutional sponsorship is defined by ownership of a stock by mutual funds, banks, pension funds and other large institutions.
These instituitional investors retain teams of analysts researching thousands of stocks. So watching their interests is a good way to ensure you are buying the right stocks.
Celanese Corp. (NYSE: CE) Moving Averages
A moving average can also act as support or resistance. In an uptrend a 50-day, 100-day or 200-day moving average may act as a support level, as shown in the figure below.
This is because the average acts like a floor (support), so the price bounces up off of it.
In a downtrend a moving average may act as resistance; like a ceiling, the price hits it and then starts to drop again.
By identifying trends, moving averages allow traders to make those trends work in their favor and increase the number of winning trades.
With that in mind, Celanese Corp. (NYSE: CE) now has a 50-day MA of $72.72 and 200-day MA of $68.26. It has traded in a 52-week range between $55.07 – 79.98 and today’s last price is 0.39%% lower than the 52 week high of $79.98.
Earnings growth is a crucial factor to research when investing in stocks and investors seek companies that have been successful at growing their earnings by at least 25% for the past 3 years.
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