Ford shares close higher on Wednesday, 1.38 million vehicles being recalled as steering wheel bolts may loosen

According to a statement by Ford Motor Company (F) on Wednesday, 1.38 million vehicles in North America are being recalled due to potential risk of steering wheel bolts loosening and detaching. Two accidents and one injury have so far been reported in association with the issue, the second-largest auto maker in the US said.

Ford shares closed higher for the third time in the past five trading sessions on Wednesday. The stock went up 2.23% ($0.24) to $11.02, after touching an intraday high at $11.44, or a price level not seen since January 29th ($11.47).

In the week ended on March 11th the shares of the global automotive company added 3.17% to their market value compared to a week ago, which marked the third gain out of four weeks. It has also been the best performance since the week ended on January 7th.

The stock has extended its advance to 3.86% so far during the current month, following a 3.28% slump in February. The latter has been a third straight month of losses.

For the entire past year, the shares of the NYSE-listed auto maker rose 2.97% following a 13.91% slump in 2016.

Ford Fusion and Lincoln MKZ models manufactured between 2014 and 2018 at the companys plants in Michigan and Mexico are all affected by the recall. The original steering wheel bolt for these vehicles is to be replaced with a longer bolt by dealers, Ford said.

At the same time, the US National Highway Traffic Safety Administration announced that an investigation was underway for Ford Fusion models manufactured between 2014 and 2016 following three reports of loose steering wheel bolts. According to the US regulator, in one of the cases the steering wheel bolt detached completely, as the driver attempted to make a turn and stop at a gas station.

Meanwhile, the US auto maker also announced the recall of almost 6 000 Ford Fusion vehicles in North America built between 2013 and 2015 due to clutch pressure plate fracture issue.

According to CNN Money, the 22 analysts, offering 12-month forecasts regarding Ford Motor Company’s stock price, have a median target of $13.00, with a high estimate of $15.00 and a low estimate of $8.00. The median estimate is a 17.97% surge compared to the closing price of $11.02 on March 14th.

The same media also reported that 17 out of 24 surveyed investment analysts had rated Ford Motor Company’s stock as “Hold”, while 4 – as “Buy”. On the other hand, 2 analysts had recommended selling the stock.

Daily and Weekly Pivot Levels

With the help of the Camarilla calculation method, today’s levels of importance for the Ford stock are presented as follows:

R1 – $11.06
R2 – $11.10
R3 (Range Resistance – Sell) – $11.14
R4 (Long Breakout) – $11.26
R5 (Breakout Target 1) – $11.39
R6 (Breakout Target 2) – $11.45

S1 – $10.98
S2 – $10.94
S3 (Range Support – Buy) – $10.90
S4 (Short Breakout) – $10.78
S5 (Breakout Target 1) – $10.65
S6 (Breakout Target 2) – $10.59

By using the traditional method of calculation, the weekly levels of importance for Ford Motor Company (F) are presented as follows:

Central Pivot Point – $10.59
R1 – $10.87
R2 – $11.02
R3 – $11.30
R4 – $11.59

S1 – $10.44
S2 – $10.16
S3 – $10.01
S4 – $9.87