Egalet Technical Analysis (NASDAQ:EGLT)
Technical analysis is the study of technical chart patterns and does not rely on the financials of a company. Just by looking at the Egalet stock price one can't take a trading decision. A trader needs to find a chart pattern, which is a clear cut pattern formation on the EGLT stock chart which creates a trading signal.
See Egalet bollinger bands, SMA (200 day moving average, 50 day moving average) and exponential moving averages. Technical analysis uses an approach for Egalet stock analysis that does not care for the fair "value" of a company but uses price and volume data only.
Egalet Moving Average:
Moving averages help predict the price direction of EGLT stock based on certain triggers, but with a lag, and form building blocks for other technical indicators like the MACD and bollinger bands. The longer the duration of the moving average, the higher the lag. For example, 200 day moving averages for Egalet are mostly signals of long term trends and will help long term traders.
Egalet Bollinger Bands:
Bollinger Bands developed from the concept of trading bands and can be used to measure the high-low range of Egalet stock price relative to previous trades.
Egalet Moving Average Convergence Divergence or MACD:
The moving average convergence divergence or MACD is a technical indicator which helps gauge the stock price trend, as the indicator is useful in understanding the strength, direction and momentum of the stock price. The Egalet MACD indicator can be used to identify bullish and bearish trends for the stock.
Egalet Relative Strength Index:
The RSI is a valuable tool to determine overbought / oversold stocks and measures the recent performance of a stock in relation to its own stock price history. .