Sanderson Farms SAFM Trading Report

April 21, 2022, 08:30 am ET, BY James G.- Contributor| Editor: Thomas H. Kee Jr. (Follow on LinkedIn)

Technically, Sanderson Farms (NASDAQ: SAFM) provides opportunities for traders who are watching the price of the stock oscillate over time.

Warning:

This is a static report, the data below was valid at the time of the publication, but support and resistance levels for SAFM change over time, so the report should be updated regularly.  Real Time updates are provided to subscribers.  Unlimited Real Time Reports.

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Instructions:

The rules that govern the data in this report are the rules of Technical Analysis.  For example, if SAFM is testing support buy signals surface, and resistance is the target.  Conversely, if resistance is being tested, that is a sign to control risk or short, and support would be the downside target accordingly.  In each case, the trigger point is designed to be both an ideal place to enter a position (avoid trading in the middle of a trading channel), and it acts as a level of risk control too.

Swing Trades, Day Trades, and Longer term Trading Plans:

This data is refined to differentiate trading plans for Day Trading, Swing Trading, and Long Term Investing plans for SAFM too.  All of these are offered below the Summary Table.

Longer Term Trading Plans for SAFM

• Buy SAFM slightly over 180.79 target 191.05 stop loss @ 180.27 Details

The technical summary data tells us to buy SAFM near 180.79 with an upside target of 191.05. This data also tells us to set a stop loss @ 180.27 to protect against excessive loss in case the stock begins to move against the trade. 180.79 is the first level of support below 190.83 , and by rule, any test of support is a buy signal. In this case, support 180.79 would be being tested, so a buy signal would exist.

• Short SAFM under 191.05, target 180.79, stop loss @ 191.6 Details

The technical summary data is suggesting a short of SAFM as it gets near 191.05 with a downside target of 180.79. We should have a stop loss in place at 191.6though. 191.05 is the first level of resistance above 190.83, and by rule, any test of resistance is a short signal. In this case, if resistance 191.05 is being tested, so a short signal would exist.

Swing Trading Plans for SAFM

• Buy SAFM slightly over 191.05, target 191.95, Stop Loss @ 190.5 Details

If 191.05 begins to break higher, the technical summary data tells us to buy SAFM just slightly over 191.05, with an upside target of 191.95. The data also tells us to set a stop loss @ 190.5 in case the stock turns against the trade. 191.05 is the first level of resistance above 190.83, and by rule, any break above resistance is a buy signal. In this case, 191.05, initial resistance, would be breaking higher, so a buy signal would exist. Because this plan is based on a break of resistance, it is referred to as a Long Resistance Plan.

• Short SAFM near 191.05, target 189.34, Stop Loss @ 191.6. Details

The technical summary data is suggesting a short of SAFM if it tests 191.05 with a downside target of 189.34. We should have a stop loss in place at 191.6 though in case the stock begins to move against the trade. By rule, any test of resistance is a short signal. In this case, if resistance, 191.05, is being tested a short signal would exist. Because this plan is a short plan based on a test of resistance it is referred to as a Short Resistance Plan.

Day Trading Plans for SAFM

• Buy SAFM slightly over 191.05, target 191.95, Stop Loss @ 190.6 Details

If 191.05 begins to break higher, the technical summary data tells us to buy SAFM just slightly over 191.05, with an upside target of 191.95. The data also tells us to set a stop loss @ 190.6 in case the stock turns against the trade. 191.05 is the first level of resistance above 190.83, and by rule, any break above resistance is a buy signal. In this case, 191.05, initial resistance, would be breaking higher, so a buy signal would exist. Because this plan is based on a break of resistance, it is referred to as a Long Resistance Plan.

• Short SAFM near 191.05, target 190.42, Stop Loss @ 191.5. Details

The technical summary data is suggesting a short of SAFM if it tests 191.05 with a downside target of 190.42. We should have a stop loss in place at 191.5 though in case the stock begins to move against the trade. By rule, any test of resistance is a short signal. In this case, if resistance, 191.05, is being tested a short signal would exist. Because this plan is a short plan based on a test of resistance it is referred to as a Short Resistance Plan.

SAFM Ratings for April 21:

Term →	Near	Mid	Long
Rating	Strong	Strong	Neutral
P1	0	0	180.79
P2	190.42	189.34	191.05
P3	192.15	191.95	200.60

Support and Resistance Plot Chart for SAFM

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