Continental Resources, Inc. (NYSE: CLR) shares fell back in value on Tuesday January 17 on slower trade volume than normal after a number of analysts weighed in on the investing value of the stock with a upgraded rating.
Meanwhile, in early trade, the Dow Jones Industrial Average was 47 points lower, or 0.24% to 19838, the S&P 500 fell 7 points, or 0.29% to 2267, while the Nasdaq was down 19 points, or 0.35% to 5554.
Analysts at Jefferies Group upgraded shares of Continental Resources, Inc. (NYSE: CLR) from Underperform to Buy today. Jefferies Group currently has a rating of Buy on the shares. As a means of comparison, a number of other analysts have commented on the company in recent days, and Continental Resources, Inc. has earned a consensus one-year price target of $59.89, higher than the opening price of $51.77. Continental Resources, Inc. stock has a 52-week high of $60.30. Stock prices sometimes get a boost to the upside when analysts upgrade a stock.
Yesterday Continental Resources, Inc. (NYSE: CLR) shares last traded at $51.02, a dip of $0.38 over the previous closing price. Opening at $51.77, they varied from $51.00 and $52.36 throughout the day.
Continental Resources, Inc. (NYSE: CLR) now has a market cap of 18.90B.
Continental Resources, Inc. (NYSE: CLR) Average Daily Trading Volume
560,201 shares traded hands yesterday, 59 percent lower than the average, out of a total float 82,295,000. lower than normal. Look for trading volume to pick up in the coming days as swing traders often use upticks in trading volume to identify heavy volume accumulation or distribution by institutional investors.
While increased trading for one day will not mean much, conversely, a trend of heavy trading volume on the buy side over a period of days or weeks sends a positive signal to market traders that institutions may be moving in, so institutional sponsorship is very important.
Institutional sponsorship is defined by ownership of a stock by mutual funds, banks, pension funds and other large institutions.
These instituitional investors have substantial teams of analysts researching thousands of stocks. So watching their interests is a good way to ensure you are buying the right stocks.
Continental Resources, Inc. (NYSE: CLR) 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 spotting trends, moving averages allow traders to make those trends work in their favor and increase the number of successful trades.
Trades for Continental Resources, Inc. (NYSE: CLR) have ranged from $13.94 – 60.30, and the stock now has a 50-day MA of $52.89 and 200-day MA of $49.14. Today’s last price is 15.39%% lower than the 52 week high of $60.30.
Indeed, earnings growth is among the most critical things to look at in regards to stock investing and, accordingly, investors identify companies that have been successful at growing their earnings at least 25% or more over 3 consecutive years.
DISCLOSURE: The views and opinions expressed in this article do not represent the views of the website. Readers should not consider statements made by the author as formal recommendations and should consult their financial adviser before making any investment decisions. To read our full disclosure, please see our terms and conditions page.