Join our community of traders FOR FREE!

  • Learn
  • Improve yourself
  • Get Rewards
Learn More

In a statement on Thursday, Bank of America Corporations (BAC) Chief Executive said that financial institutions would be able to provide a larger share of funding for the purpose of home purchases, in case the standard down payment for buyers was reduced from 20% to 10%.

Bank of America shares closed higher for the first time in the past three trading sessions on Thursday. The stock went up 0.75% ($0.17) to $22.74, with the intraday high and the intraday low being at $23.00 and $22.50 respectively. In the week ended on May 14th the shares of the financial holding company added 1.10% to their market value compared to a week ago, which marked a fourth consecutive period of gains. The stock has pared its loss to 2.57% so far during the current month, following a 1.06% slump in April. The latter has been a second straight month of losses. For the entire past year, Bank of America shares soared 31.31%.

“Our goal – going back to regulatory reform – is should you move the down payment requirement from 20 percent to 10? It wouldnt introduce that much risk but would actually help a lot of mortgages get done”, Brian Moynihan, BofAs Chief Executive Officer, said in a May 18th interview with CNBC.

According to CNN Money, the 30 analysts, offering 12-month forecasts regarding Bank of America’s stock price, have a median target of $26.00, with a high estimate of $31.50 and a low estimate of $20.00. The median estimate is a 14.34% surge compared to the closing price of $22.74 on May 18th.

The same media also reported that 19 out of 34 surveyed investment analysts had rated Bank of America’s stock as “Buy”, while 9 – as “Hold”. On the other hand, 1 analyst had recommended selling the stock.

Daily and Weekly Pivot Levels

With the help of the Camarilla calculation method, todays levels of importance for the Bank of America stock are presented as follows:

R1 – $22.79
R2 – $22.83
R3 (Range Resistance – Sell) – $22.88
R4 (Long Breakout) – $23.02
R5 (Breakout Target 1) – $23.18
R6 (Breakout Target 2) – $23.25

S1 – $22.69
S2 – $22.65
S3 (Range Support – Buy) – $22.60
S4 (Short Breakout) – $22.47
S5 (Breakout Target 1) – $22.30
S6 (Breakout Target 2) – $22.23

By using the traditional method of calculation, the weekly levels of importance for Bank of America Corporation (BAC) are presented as follows:

Central Pivot Point – $24.02
R1 – $24.29
R2 – $24.58
R3 – $24.85
R4 – $25.12

S1 – $23.73
S2 – $23.46
S3 – $23.17
S4 – $22.88

TradingPedia.com is a financial media specialized in providing daily news and education covering Forex, equities and commodities. Our academies for traders cover Forex, Price Action and Social Trading.

Related News