Why Eltek Ltd. (ELTK) Stock Rallied Today

Stay Ahead of Wall Street. Find out what is happening to Eltek Ltd. (NASDAQ:ELTK) stock today? Its price is jumping 0.31 points, trading at $1.63 levels, and is up 23.48% from its previous close of $1.32. The shares seem to have an active trading volume day with a reported 218724 contracts so far this session. ELTK shares had a relatively better volume day versus average trading capacity of 24.1 million shares, but with a 0.88 million float and a -2.22% run over a week, it’s definitely worth keeping an eye on. ELTK share price has been trading recently between $1.32 and $1.3527.

The shorts are running away from Eltek Ltd. (ELTK) stock. The latest set of short interest data was released on 30 April 2019, and the numbers show a drop in short interest in ELTK shares. While short interest still represents only 3.35% of ELTK’s float, the number of shares shorted have fallen by -25398. The number of shares shorted fell to 4086 shares, down from 29484 shares during the preceding fortnight. With average daily trading volumes at 16226 shares, days to cover decreased to about 1.745958 days. The most recent news story about the stock that appeared in Yahoo Finance‘s news section was titled “Eltek Announces Filing of 2018 Annual Report” and dated April 18, 2019.

During the recent trading session for Eltek Ltd. (NASDAQ:ELTK), the company witnessed their stock rise $0.24 over a week and surge $0.04 from the price 20 days ago. When compared to their established 52-week high of $4.74, the high they recorded in their recent session happens to be lower. Their established 52-week high was attained by the company on 10/19/18. The recent low of $1.28 stood for a -65.61% since 05/13/19, a data which is good for most investors who are looking to take advantage of the stock’s recent rise. A beta of 0.1 is also allocated to the stock. Since the beta is less than one, it implies that the stock is more volatile than the market, a data that traders are keeping close attention to.

Looking at the current readings for Eltek Ltd., the two-week RSI stands at 55.04. This figure suggests that ELTK stock, for now, is neutral, meaning that the shares are stable in terms of price movement. The stochastic readings, on the other hand, based on the current ELTK readings is similarly very revealing as it has a stochastic reading of 30.15% at this stage. This figure means that ELTK share price today is being neutral.

Technical chart claims that Eltek Ltd. (ELTK) would settle between $1.34/share to $1.36/share level. However, if the stock price goes below the $1.31 mark, then the market for Eltek Ltd. becomes much weaker. If that happens, the stock price might even plunge as low as $1.3 for its downside target. The stock is currently in the green zone of MACD, with the indicator reading 0.02. Traders are always alerted for the move of a stock above or below the zero line due to the fact that the reading is an indicator of the position of the short-term average relative to the long-term average. If the MACD is above the zero line, then the short-term average relative is above that of the long-term average, thus implying an upward momentum. Vice versa is the case if the MACD is below the zero line.

Moving on, ELTK stock price is currently trading at 0X forward 12-month Consensus EPS estimates, and its P/S ratio is 0.08 while for the average stock in the same group, the multiple is 7.77.