Kinross Gold Corp (NYSE:KGC) was last seen down 2.8% at $28.18, pulling back alongside the broader precious metals sector. The gold stock is seeing support from the 200-day moving average, however, which has yielded positive returns in the past.
According to Schaeffer's Senior Quantitative Analyst Rocky White, KGC is trading within 0.75 times the 200-day moving average's 20-day average true range (ATR), after spending at least 80% of the previous two weeks and 80% of the prior 42 trading sessions above that trendline. This setup has appeared seven times during the last decade. One month later, the stock was higher 83% of the time after these signals, averaging an impressive 7% gain. A comparable rally from current levels would place Kinross Gold stock at $30.15.
Meanwhile, the stock sports a
Schaeffer's Volatility Scorecard (SVS) of 80 out of 100, indicating it has consistently exceeded options traders' volatility expectations during the past year.
