Coca Cola Technical Analysis (NYSE:KO)
Technical chart patterns are studied in depth by people who strongly believe in technical analysis. These type of investors who look at trading charts or technical stock charts are usually traders rather than value investors. The Coca Cola stock price data and volume are plotted in KO stock charts and these trading charts form the basis of technical analysis.
View technical indicators like moving averages (SMA and EMA), and bollinger bands for Coca Cola. The technical analysis form of Coca Cola stock analysis tries to understand the market by studying the stock market trend itself as opposed to other aspects like the company's fundamentals.
Coca Cola Moving Average:
Moving averages show the KO stock price trend. The two most popular types of moving averages are the Simple Moving Average (SMA) and the Exponential Moving Average (EMA). One needs to choose the duration of a moving average depending on the investment objective and investment horizon. For periods greater than 100, it takes a larger and longer KO stock price movement for the moving average to change course.
Coca Cola Bollinger Bands:
Bollinger bands consist of two price bands above and below a center line for any company stock like Coca Cola. The tightening of bands is considered by most traders to be a precursor to sudden increase in volatility. Coca Cola bollinger bands show that the stock price is $41.78, upper band is 35.78, lower band is 25.54, and the average is 30.66.
Coca Cola 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 Coca Cola MACD indicator can be used to identify bullish and bearish trends for the stock.
Coca Cola 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. If the RSI of KO stock goes above 70 it could indicate an overbought condition, and if it goes below 30 it could signal an oversold position. .