Mr. Pratik chadhokar is an Indian Forex, Cryptocurrencies and Financial Market Advisor and analyst with a background in IT and Financial market Strategist. He specialises in market strategies and technical analysis and has spent over a year as a financial markets contributor and observer. He possesses strong technical analytical skills and is well known for his entertaining and informative analysis of the Financial markets.
UniCredit stock (BIT: UCG) price prediction illustrates that the stock is losing momentum which might invite short-selling from the upper levels. The daily chart shows the formation of a bullish flag pattern which indicates a short-term correction phase going on.
Moreover, the UCG stock price trend shows that the stock price has been bullish and maintained itself beyond the 50-day EMA. Bulls have been dominating and maintaining a positive trend since the beginning of the year. Since then, the stock has bagged a return of over 62%.
The technical indicators imply that the UniCredit stock has been showing strength over the charts. The bulls have gained control and kept the price in an inclining pattern and above the key moving average for most of the time.
Currently, the price fell below the 50-day EMA indicating weakness over the charts. However, the long-term trend still stands on the optimistic side. The price might show correction in the short term due to short-term gains, profit booking, and resume with the long-term trend.
The analysts are optimistic about the price trend. The analyst’s 1-year price forecast for UniCredit has a maximum potential of 70% which could lead the price to a high of €37. On the other hand, the analysts expect a minimum gain of €7.91 which could take the price to €23.40.
UniCredit engages in the provision of banking and financial solutions. The company operates in various countries of Europe including Italy, Germany, Romania, central European countries, etc.
UniCredit Stock Price Prediction Over Daily Chart
Currently, UniCredit’s stock price is trading at €21.685 and is following a channel pattern formed over the daily chart. The price has undergone a short-term correction phase. The price might correct more until it maintains the channel.
The breakout of the channel may again resume the long-term trend and the price may surge to the higher levels taking support from the key moving averages.
The price has turned slightly bearish in the short term until it remains in the channel. Also, the price trades above the round level of €20 which might act as a support, and the buyers may try to halt the downward momentum near the zone. The price may escape the bearish territory if it sustains above the €22.165 level.
Technical Indicators Show Volatility in the Short-Term
The technical indicators including RSI and MACD opinion rating for the stock is a 30% buy with a weak short-term outlook on maintaining the current trend. Long-term indicators are optimistic and support the continuation of the ongoing trend.
Conclusion
UniCredit stock (BIT: UCG) is in a short-term correction phase after a bullish trend since the beginning of 2023. The stock formed a bullish flag pattern and fell below the 50-day EMA, indicating weakness. However, the long-term trend is still optimistic and the price may resume its upward momentum after breaking out of the channel. Analysts are positive about the stock’s potential and forecast a maximum gain of 70% in a year.
Technical Levels
- Support levels: €20.57 and €19.46
- Resistance levels: €22.16 and €23.23
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational purposes only and do not establish financial, investment, or other advice. Investing in or trading crypto or stock comes with a risk of financial loss.
Source: https://www.thecoinrepublic.com/2023/09/16/unicredit-share-price-prediction-can-ucg-stock-crash-below-e20/