Home
News
- 1 Annaly capital management stock price closed at $19.87 while observing a loss of -0.65% during the last intraday trading session.
- 2 NLY stock price has dropped below 20, 50, 100, and the 200-day exponential moving average.
- 3 The year-to-date return of Annaly Capital Management is -6.41% while the weekly return is 1.90%.
NLY stock price is rising in a bullish triangle pattern forming higher lows and facing rejection from the $21 level. The stock has been rising since the end of May from the support level of $17.70. In mid-June 2023, Annaly stock price touched the $21 level and rejected it heavily which induced negative sentiment in the market.
NLY share price fell and formed a support at $18.70. It regained momentum to retest the resistance level of $21 and hopefully break it. The move was halted again due to the release of the Q2 report which led to the downfall.
Recently, Annaly Capital Management stock price formed support at $19.40 and headed upward but faced rejection near $20. The bears’ did not allow price from rising above $20. The last candle closed as a bearish candle and broke the low of the previous candle.
If the next candle can break the low of the next candle, then the price might head down toward the $19.40 support level. On the other hand, if the price can rise and close above $20, it might rise toward the $21 major resistance level.
Quarter 2 Earning Report Analysis
Out of the last four quarters, three-quarter results have reported a negative net income. However, Quarter 2 2023 was successful in reporting a positive net income but could not beat the revenue estimates of consensus. The consensus estimated the revenue to be $363.86 Million while the company reported $218.37 Million.
The earning per share was estimated to be $0.742 but Annaly Capital reported $0.72. Net interest income was -$31.96 Million in the reported quarter against the consensus estimate of $262 Million.
Will NLY Stock Price Continue Rising?
The stock price has dropped below the 20, 50, 100, and 200-day exponential moving averages, implying bearish momentum. Chaikin money flow (CMF) score has been hovering near the 0 mark since the start of August 2023 and traded at -0.03 indicating slight weakness.
The relative strength index has dropped below the 50 mark and stands at 47.64 suggesting a rise in bearish pressure. The Bollinger bands have also contracted indicating a decrease in volatility. NLY stock price is also facing rejection from the 20-day SMA of Bollinger and melting toward the lower band which resides near $19.50.
Conclusion
The rising interest rates are hitting the mortgage industry hard and higher interest rates are negatively impacting Annaly capital’s ability to buy and sell mortgages. The market structure and price action are still in a rising bullish triangle pattern which indicates potential for an upside move.
Technical Levels
- Major support: $19.40 and $18.70
- Major resistance: $21 and $22
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational purposes only. They do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Andrew is a blockchain developer who developed his interest in cryptocurrencies while pursuing his post-graduation major in blockchain development. He is a keen observer of details and shares his passion for writing, along with coding. His backend knowledge about blockchain helps him give a unique perspective to his writing skills, and a reliable craft at explaining the concepts such as blockchain programming, languages and token minting. He also frequently shares technical details and performance indicators of ICOs and IDOs.
