#HYHRD: hitting new 52-week lows today; $MAV, $MHI, $NMZ

UPDATE: October 19, 2016MHI hit another new low of $12.55, which is still higher than the July 2015 low of $11.95. The original post follows…

Today, my brokerage page showed me that 3 of my holdings hit new 52-week lows;

eventsummary

Clicking on the summary gives me the detail screen;

eventdetails

Hitting a new low isn’t always a bad thing, unless they are lower lows, and consistent. Lower lows are a bad thing, but higher lows are a good thing.

In the case of MAV, we see that the new 52 week low of $12.54 is higher than the July 2015 low of $12.21 and much higher than the all time low of $6.80 from December, 2008 (8 years).

Here’s a 6 month chart showing today’s new low;

mav

Here’s a 2 year chart showing the low from July, 2015;

mav

Here’s a 10 year chart showing the low from December, 2008;

mav

From these charts, we can see the three lows outlined above, and we can also see that each successive low has been a higher low than the previous low. So, at least we know the bottom trendline is sloping upwards. As long as the newer low isn’t a lower low, then a price recovery isn’t out of the question. If a new low is a lower low, then price recovery seems less likely.

In the case of MHI, we see that the new 52 week low of $12.62 is higher than the July 2015 low of $11.95 and much higher than the all time low of $7.11 from October, 2008 (8 years).

Here’s a 1 year chart showing today’s new low;

mhi

Here’s a 5 year chart showing the low from July, 2015;

mhi

Here’s a 15 year chart showing the low from October, 2008;

mhi

From these charts, we can again see the three lows outlined above, and we can also see that each successive low has been a higher low than the previous low. So, at least we know the bottom trendline is sloping upwards. As long as the newer low isn’t a lower low, then a price recovery isn’t out of the question. If a new low is a lower low, then price recovery seems less likely.

In the case of NMZ, we see that the new 52 week low of $13.19 is higher than the June 2015 low of $12.87, which is higher than the December 2013 low of $11.26, which is higher than the August 2013 low of $10.82 and much higher than the all time low of $6.01 from October, 2008 (8 years).

Here’s a 1 year chart showing today’s new low;

nmz

Here’s a 2 year chart showing the low from June, 2015;

nmz

Here’s a 3 year chart showing the low from December, 2013;

nmz

Here’s a 5 year chart showing the low from August, 2013;

nmz

Here’s a 15 year chart showing the low from October, 2008;

nmz

From these charts, we can again see the five lows outlined above, and we can also see that each successive low has been a higher low than the previous low. So, at least we know the bottom trendline is sloping upwards. As long as the newer low isn’t a lower low, then a price recovery isn’t out of the question. If a new low is a lower low, then price recovery seems less likely.

So, what’s the point? Sometimes, a new low is a good thing. It can mean a discounted price on new shares for your portfolio with possible capital gain, etc. It can also be a bad thing, if it’s lower than previous lows.

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