Should I invest in NDM in the short term
7/31/2024 08:13am
**Investing in NDM in the short term appears to be risky**. Here's why:
1. **Technical Indicators**: The stock does not have any specific short-term moving averages, resistance levels, or support levels. This lack of clear technical indicators makes it difficult to assess short-term trends and potential entry or exit points for trading.
2. **Market Sentiment**: The sentiment is bullish, with a 26.02% expected rise over the next 3 months. However, this optimism should be tempered by the stock's recent performance and the high volatility noted in the market.
3. **Recent Performance**: NDM's stock has experienced a loss of -0.29% since July 22, 2024, and has fallen by -7.15% over the last 10 days. This recent underperformance could indicate ongoing challenges or market skepticism about the company's short-term prospects.
4. **Divergence**: There has been a divergence between volume and price, with volume falling as the price has increased. This divergence can be a warning sign, as it may suggest that investors are not confident in the stock's continued upward movement.
5. **Risk and Volatility**: NDM is considered a high-risk investment due to its daily price movements and low trading volume. The stock's high volatility and the current bearish trend in the market make it a challenging investment for risk-averse investors.
In conclusion, while there is a positive outlook for NDM in the medium to long term, the stock's current volatility, lack of clear short-term indicators, and recent underperformance make it a risky investment in the short term. Investors should carefully consider their risk tolerance and investment horizon before making a decision.