MOWI PredictionMOWI seems to be in a downtrend, if support level breaks, we may see a fall to the bottom of the channel with a stop at next support level.
PND trade ideas
Is Norwegian Salmon Farming Being Rotated Into As Value?Charted above is the ratio of the largest salmon farming company in the world, Marine Harvest or Mowi ASA, and the Nasdaq 100. I've been making multiple different comparisons with this sector and the broader stock market to try and figure out of the Norwegian salmon farming industry is being effected by the rotation of money that's occurring at the moment. What do you think?
Gotta Take Your Omega 3'sNorwegian salmon farming is going to crush it this next year. Underinvestment (because of confused investors) and increased demand are set to drive up the value of mass producer salmon facilities in the 2020s. The gmo salmon farming companies in Norway are outperforming as commodity plays, while organic salmon farming and aquaculture biotech appear to be bouncing off of the lows set by the overall market (probably because they correlate more so with biotech and XBI).
SALMON FOR CHRISTMAS ! MOWI MHGVYCHANNEL BREAKOUT AND BULL FLAG. 20% gain in next month or so. I case you dont know salmon consuption always goes in winter holidays!!! This will be the third time it tries to breakout and probably the timing is perfect.
MOWI - Short Term Long Position ~ 10% ^I believe this is a pretty strong / secure analysis.
Reasons:
- Chart is leading up to a breakout.
- Positive fundamentals lately such as positive financials Q3, positive salmon news and recent large investments.
- Recent breakout of negative trend.
Suppressed salmon prices to force MOWI ASA to 165 NOK?MOWI ASA (MOWI) is the world's largest producer of Atlantic salmon with operations in Canada, Chile and Europe. Being a salmon producer, the company is highly sensitive to the price of salmon. The price of salmon has been decreasing in 2020 and now trades at circa 5.15 euros per kilogram of salmon. The suppressed salmon price should affect revenues negatively which, short term, could press the stock price down further.
Trend, stop loss and price target
I believe a trend has formed from the June high 2020 to present date. If this belief is accurate, the trend line should act as a good place for a stop loss at 179.50 Norwegian crowns (NOK).
In the same spirit, I set my price target at the July lows of 165.15 NOK.
Risks
Increase in salmon price (for example due to speculation) while MOWIs sales remains high.
Decreased global salmon production while MOWIs production remains high.
Increased demand of salmon, for example due to markets opening up for MOWI.
Opportunities
Decrease in salmon price.
Decreased production, for example due to disruption in production.
Trade restrictions, for example due to virus outbreak.
Mulig MOWI shortHar falt godt igjennom trend, og flere støttenivåer. For ikke å snakke om problemene som kommer når de ikke lengre får fraktet fisk, og etterspørselen synker pga korona
