Technical outlook – Nufarm Limited (NUF) gapped higher from $4.50 to $6.94, and since then has struggled to uphold to the gains.
From Friday’s close, it is now apparent this share may be in a freefall.
At this point, our take-way from a technical perspective is bearish, due to the technical assessment, now that the Moving Average Convergence Divergence (MACD) has cut the 0.00 axis. The 3-day lookback Relative Strength Index (RSI), now in sync with the MACD gives the marriage for ‘both these indicators’ to support our assessment.
Therefore, we believe that this share continues the current pattern until reaching the region of $5.90. Reassess from there.
Company Overview -Nufarm Limited (NUF) is a crop protection and specialist seeds companies. NUF product helps farmers to protect their crops against damage caused by weeds, pests and disease. Nufarm has manufacturing and marketing operations throughout Australia, New Zealand, Asia, the Americas and Europe and sells products in more than 100 countries. The company also operates a seeds business focused on canola, sorghum and sunflower seeds — former Names: Fernz Corporation Limited (FZC), 25/01/2000.