Grupo Supervielle's 15min chart triggers Bollinger Bands Narrowing, KDJ Death Cross signal.

Grupo Supervielle's 15-minute chart has exhibited a narrowing of Bollinger Bands, and a death cross on the KDJ indicator, which occurred on July 7th, 2025 at 14:15. This indicates a decrease in the magnitude of stock price fluctuations, as well as a shift in momentum towards the downside, which may lead to further decreases in stock price.

July 2, 2025 - Grupo Supervielle's (SUPV) stock has shown notable technical indicators that could signal a potential downturn. Specifically, the 15-minute chart exhibits a narrowing of Bollinger Bands, suggesting a decrease in the magnitude of stock price fluctuations [3]. Additionally, a death cross on the KDJ indicator occurred on July 7th, 2025, at 14:15, indicating a shift in momentum towards the downside [3].

Bollinger Bands and Price Fluctuation

The Bollinger Bands consist of a simple moving average and two standard deviations above and below it. When the bands narrow, it typically indicates a period of low volatility. This narrowing in SUPV's 15-minute chart suggests that the stock price is experiencing a decrease in volatility, which could be a precursor to a significant move in either direction.

KDJ Indicator and Momentum Shift

The KDJ indicator, a momentum oscillator, is used to identify overbought or oversold conditions. A death cross occurs when the K line crosses below the D line, indicating a bearish signal. This event on July 7th, 2025, suggests that the stock's momentum is shifting towards the downside, potentially leading to further price decreases.

Market Context and Financial Health

The broader market context is also crucial. According to a report by the consulting firm Labor, Capital, and Growth (LCG), there has been a significant increase in credit card defaults in Argentina, which could negatively impact the financial sector [1]. This trend may affect SUPV's stock performance, as the bank is part of the financial sector.

Comparative Valuation

In terms of valuation, SUPV currently has a forward P/E ratio of 8.64, a PEG ratio of 2.58, and a P/B ratio of 1.16. These metrics suggest that SUPV is relatively undervalued compared to its peers, such as United Overseas Bank Ltd. (UOVEY), which has a forward P/E ratio of 10.20 and a PEG ratio of 3.10 [2]. However, the recent technical indicators and broader market trends should be considered when evaluating SUPV's stock.

Conclusion

While SUPV's recent technical indicators suggest a potential downturn, the stock remains undervalued based on its valuation metrics. Investors should closely monitor the stock's performance and consider the broader market trends, including the increase in credit card defaults, when making investment decisions.

References

[1] https://buenosairesherald.com/economics/rising-credit-card-defaults-put-argentine-bank-stocks-on-alert
[2] https://www.nasdaq.com/articles/supv-vs-uovey-which-stock-better-value-option
[3] https://www.investors.com/ibd-data-stories/grupo-supervielle-adr-shows-improved-relative-strength-still-shy-of-benchmark/