While “the trend is your friend” when it comes to investing or trading in the short term, when to enter the trend is a key determinant of success. And increase the chances of success by making sure that the sustainability of a trend is not easy.
The trend is often reversed before exiting the trade resulting in short term capital loss for investors. So, for a profitable trade, factors like strong fundamentals, positive revisions to earnings estimates, etc. need to be confirmed. that could keep the momentum going.
Our “Recent Price Strength” screen, which is created on a single short term trading strategy, could be of great help in this regard. This predefined screen makes it very easy to select stocks that have sufficient fundamental strength to maintain their recent uptrend. Also, the screen only passes stocks that are trading in the upper portion of their 52 week high-low range, which is usually an indicator of an uptrend.
There are several actions that have crossed the screen and Financial institutions (FISI) is one of them. Here are the main reasons why this stock is a solid choice for a “trendy” investment.
A solid price increase over a 12-week period reflects the continued willingness of investors to pay more for a stock’s potential rise. FISI is fairly well positioned in this regard, gaining 1.9% over this period.
However, it is not enough to just watch the price development for about three months, as it does not reflect any trend reversals that could have occurred in a shorter period of time. It is important for a potential winner to maintain the price trend. A price hike of 2.3% over the past four weeks ensures that the trend is still in place for the stock of this holding company of Five Star Bank.
Additionally, FISI is currently trading at 84.4% of its 52 week high-low range, hinting that it may be on the verge of a breakout.
Looking at the fundamentals, the stock currently has a Zacks Rank # 2 (Buy), meaning it is in the top 20% of the 4,000 stocks we rank based on trends in earnings estimate revisions and earnings estimates. BPA surprises – the key factors that influence the short-term price movements of a stock.
The Zacks Rank stock rating system, which uses four factors related to earnings estimates to rank stocks into five groups, ranging from Zacks Rank # 1 (Strong Buy) to Zacks Rank # 5 (Strong Sell), has an impressive track record. externally audited. record high, with Zacks Rank # 1 stocks generating an average annual return of + 25% since 1988. You can see the full list of Zacks Rank # 1 (strong buy) stocks today here >>>>
Another factor that confirms the fundamental strength of the business is its average broker recommendation # 1 (strong buy). This indicates that the brokerage community is very optimistic about the short-term price performance of the stock.
So the price trend of FISI may not be reversing anytime soon.
In addition to FISI, several other stocks are currently going through our “Recent Price Strength” screen. You can consider investing in them and start looking for the most recent stocks that match these criteria.
This isn’t the only screen that might help you find your next winning stock pick. Depending on your personal investing style, you can choose from over 45 Premium Zacks displays that are strategically created to beat the market.
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Financial Institutions, Inc. (FISI): Free Stock Analysis Report
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