After Yesterday's Rally of 1.95% Shares Could Potentially Pullback
Vale (NASDAQ:VALE) traded in a range yesterday that spanned from a low of $4.63 to a high of $4.80. Yesterday, the shares gained 2.0%, which took the trading range above the 3-day high of $4.62 on volume of 24.7 million shares. Often times after large one-day gains, short term traders will seek to take profits and, as such, investors should be cautious.
In the past 52 weeks, Vale share prices have been bracketed by a low of $2.13 and a high of $9.14 and are now at $4.71, 121% above that low price. The 200-day and 50-day moving averages have moved 0.2% lower and 3.72% higher over the past week, respectively.
SmarTrend recommended that its subscribers protect gains by selling shares of Vale on May 5th, 2016 by issuing a Downtrend alert when the shares were trading at $4.80. Since that call, shares of Vale have fallen 4.0%. We are now looking for when a new Uptrend will commence and will alert SmarTrend subscribers in real time.