There are 49 stocks on the positive breakouts list (stocks with positive price momentum), and 37 securities are on the negative breakouts list (stocks with negative price momentum).
Discussed today is a stock that is on the negative breakouts list – Maple Leaf Foods Inc. (MFI-T). Before the market opened on Feb. 22, the company reported disappointing quarterly financial results. Since then, the share price has tumbled 12 per cent on high volume.
From a technical analysis perspective, the stock is deeply oversold with a relative strength index (RSI) reading of 23. Generally, an RSI at or below 30 reflects an oversold condition. The share price may soon stabilize; however, it may take time to rebound. While the downside risk in the share price may be limited given the stock’s valuation, investors may need to have patience.
Despite the earnings miss, the stock has unanimous buy recommendation from six analysts with an average target…
