- AVCT stock price: The company is showing huge numbers in its revenue but burning money in operations.
- The stock is fighting to get over its 50 EMA. Know the price prediction.
- The RSI is indicating a downtrend while the MACD is still bullish
The AVCT stock price was down to a level of £38.2 in the mid of March 2022. The bulls arrived (LON: AVCT) and took the price to a level of £143 in April. After that, the stock went into a consolidation phase for more than a year.
The prices were between £95 and £137. Fast forward to the new year 2023, when the bulls finally broke past the resistance levels. The price touched the £185 mark in February 2023. The AVCT stock price has seen a decent correction and has fallen to the current level of £106.
Why the AVCT stock price is falling?
There are no signs of any negative news over the internet. The company has incurred a revenue of £4.14 Million in its half-yearly report of December 2022. The recorded growth was over 560% on a YOY basis. The company reported a growth of 228% in the annual report published last year. However, the company is burning cash in its operations. Its Earnings before interest and taxes (EBIT) is not positive. That could be the reason for the lack of confidence in investors.
Technical Analysis and Price Prediction of AVCT Stock
Currently, the stock is bouncing off its immediate support level of £98.0. The second support is awaiting at the level of £76.9. The immediate resistance for the bulls is near the level of £123. A price rejection happened there in June 2023. A second resistance is awaiting at £137.
MACD made a bullish crossover with its EMA back in early August this year. At present, the MACD is at the level of 0.413 whereas the EMA is down at 0.112.
The RSI is showing a bearish spike from the level of 56 to 47 and its SMA is above 50. Both the lines are in neutral territory. The EMAs are close to the share price. The 50 EMA is piercing through the current price action at £104. The 200 EMA is at £113 waiting for the bulls.
Price Prediction for the AVCT Stock
The price prediction for the AVCT stock price is bullish if the bulls can push beyond the 50 EMA. However, just above the 200 EMA is waiting. The bulls will have to show good momentum to rise past the 200 EMA. On the other hand, if the 50 EMA rejects the price, a bearish sentiment may occur.
Technical Levels
Support:£98, £76
Resistance: £123, £137
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational purposes only. They do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.