Stock Price Trends

Shoe Carnival Inc (SCVL)

Shoe Carnival, Inc., is a family footwear retailer in the United States. The company is headquartered in Evansville, Indiana.

Stock Price Trends

Stock price trends estimated using linear regression.

Key facts

  • The primary trend is decreasing.
  • The decline rate of the primary trend is 15.53% per annum.
  • SCVL price at the close of May 17, 2024 was $34.45 and was higher than the top border of the primary price channel by $9.11 (35.96%). This indicates a possible reversal in the primary trend direction.
  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 107.44% per annum.
  • SCVL price at the close of May 17, 2024 was inside the secondary price channel.
  • The direction of the secondary trend is opposite to the direction of the primary trend. This indicates a possible reversal in the direction of the primary trend.

Linear Regression Model

Model equation:
Yi = α + β × Xi + εi

Top border of price channel:
Exp(Yi) = Exp(a + b × Xi + 2 × s)

Bottom border of price channel:
Exp(Yi) = Exp(a + b × Xi – 2 × s)

where:

i - observation number
Yi - natural logarithm of SCVL price
Xi - time index, 1 day interval
σ - standard deviation of εi
a - estimator of α
b - estimator of β
s - estimator of σ
Exp() - calculates the exponent of e


Primary Trend

Start date: March 11, 2021
End date: December 5, 2023

a = 3.8304

b = -0.0005

s = 0.1227

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0005) – 1
= -15.53%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.1227) – 1
= 63.34%

March 11, 2021 calculations

Top border of price channel:

Exp(Y456)
= Exp(a + b × X456 + 2 × s)
= Exp(a + b × 661 + 2 × s)
= Exp(3.8304 + -0.0005 × 661 + 2 × 0.1227)
= Exp(3.7701)
= $43.38

Bottom border of price channel:

Exp(Y456)
= Exp(a + b × X456 – 2 × s)
= Exp(a + b × 661 – 2 × s)
= Exp(3.8304 + -0.0005 × 661 – 2 × 0.1227)
= Exp(3.2795)
= $26.56

December 5, 2023 calculations

Top border of price channel:

Exp(Y1,145)
= Exp(a + b × X1,145 + 2 × s)
= Exp(a + b × 1,660 + 2 × s)
= Exp(3.8304 + -0.0005 × 1,660 + 2 × 0.1227)
= Exp(3.3082)
= $27.33

Bottom border of price channel:

Exp(Y1,145)
= Exp(a + b × X1,145 – 2 × s)
= Exp(a + b × 1,660 – 2 × s)
= Exp(3.8304 + -0.0005 × 1,660 – 2 × 0.1227)
= Exp(2.8175)
= $16.74

Description

  • The primary trend is decreasing.
  • The decline rate of the primary trend is 15.53% per annum.
  • SCVL price at the close of May 17, 2024 was $34.45 and was higher than the top border of the primary price channel by $9.11 (35.96%). This indicates a possible reversal in the primary trend direction.

Secondary Trend

Start date: August 22, 2023
End date: May 17, 2024

a = -0.0685

b = 0.0020

s = 0.0603

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0020) – 1
= 107.44%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0603) – 1
= 27.28%

August 22, 2023 calculations

Top border of price channel:

Exp(Y1,072)
= Exp(a + b × X1,072 + 2 × s)
= Exp(a + b × 1,555 + 2 × s)
= Exp(-0.0685 + 0.0020 × 1,555 + 2 × 0.0603)
= Exp(3.1607)
= $23.59

Bottom border of price channel:

Exp(Y1,072)
= Exp(a + b × X1,072 – 2 × s)
= Exp(a + b × 1,555 – 2 × s)
= Exp(-0.0685 + 0.0020 × 1,555 – 2 × 0.0603)
= Exp(2.9195)
= $18.53

May 17, 2024 calculations

Top border of price channel:

Exp(Y1,258)
= Exp(a + b × X1,258 + 2 × s)
= Exp(a + b × 1,824 + 2 × s)
= Exp(-0.0685 + 0.0020 × 1,824 + 2 × 0.0603)
= Exp(3.6985)
= $40.39

Bottom border of price channel:

Exp(Y1,258)
= Exp(a + b × X1,258 – 2 × s)
= Exp(a + b × 1,824 – 2 × s)
= Exp(-0.0685 + 0.0020 × 1,824 – 2 × 0.0603)
= Exp(3.4572)
= $31.73

Description

  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 107.44% per annum.
  • SCVL price at the close of May 17, 2024 was inside the secondary price channel.