Wells Fargo shares fall the most in ten weeks on Tuesday, Wells Fargo Asset Management boosts Multi-Asset Solutions staff

Wells Fargo Asset Management said on Tuesday that it had appointed Eddie Cheng as head of International Portfolio Management within its Multi-Asset Solutions team.

Wells Fargo’s shares closed lower for the fourth time in the past eleven trading sessions in New York on Tuesday. It has also been the steepest daily loss since March 22nd. The stock went down 3.55% ($1.95) to $52.95, after touching an intraday low at $52.64, or a price level not seen since May 8th ($52.63).

Shares of Wells Fargo & Company have retreated 12.72% so far in 2018 compared with a 0.61% gain for the underlying index, S&P 500 (SPX).

In 2017, Wells Fargo’s stock surged 10.09%, thus, it again underperformed the S&P 500, which registered a 19.42% return.

Cheng is expected to report to Nicolaas Marais, President of Wells Fargo Asset Management and head of Multi-Asset Solutions, and will be based in London.

Previously, Cheng served as a senior portfolio manager at Schroders.

Additionally, Chenfei Ma has been appointed as an investment analyst and Stephane Renevier as a portfolio manager within Wells Fargo Asset Managements Multi-Asset Solutions team. Both of them are expected to report to Eddie Cheng and will be based in London.

“The addition of Eddie, Chenfei and Stephane to our team not only strengthens our capabilities in the area of machine learning but further deepens the team’s experience as we aim to deliver best-in-class absolute return and alternative risk premia strategies to our clients”, Nicolaas Marais, President of Multi Asset Class Solutions and Product Research & Development at Wells Fargo Asset Management, was quoted as saying in a company press release.

“These new team members bring a depth of experience to our multi-asset platform as we strive to create solutions that address the complex and changing needs of our clients”, he added.

According to CNN Money, the 30 analysts, offering 12-month forecasts regarding Wells Fargo’s stock price, have a median target of $62.00 with a high estimate of $75.00 and a low estimate of $45.00. The median estimate is a 17.09% surge compared to the closing price of $52.95 on May 29th.

The same media also reported that 13 out of 32 surveyed investment analysts had rated Wells Fargo’s stock as “Buy”, while 12 – as “Hold”. On the other hand, 5 analysts had recommended selling the stock.

Daily and Weekly Pivot Levels

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

R1 – $53.10
R2 – $53.25
R3 (Range Resistance – Sell) – $53.40
R4 (Long Breakout) – $53.84
R5 (Breakout Target 1) – $54.36
R6 (Breakout Target 2) – $54.58

S1 – $52.80
S2 – $52.65
S3 (Range Support – Buy) – $52.50
S4 (Short Breakout) – $52.06
S5 (Breakout Target 1) – $51.54
S6 (Breakout Target 2) – $51.32

By using the traditional method of calculation, the weekly levels of importance for Wells Fargo & Company (WFC) are presented as follows:

Central Pivot Point – $55.05
R1 – $56.03
R2 – $57.16
R3 – $58.14
R4 – $59.12

S1 – $53.92
S2 – $52.94
S3 – $51.81
S4 – $50.68