National CineMedia Technical Analysis (NASDAQ:NCMI)
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. When a chart pattern that can predict future National CineMedia stock price movements is formed, the NCMI stock chart can become a key tool for a technical analyst.
You can view Simple Moving Average (SMA 20 day, 50 day & 100 day), Exponential Moving Average (EMA 20 day, 50 day & 100 day) charts, and Bollinger Bands for National CineMedia. Technical analysis uses an approach for National CineMedia stock analysis that does not care for the fair "value" of a company but uses price and volume data only.
National CineMedia Moving Average:
Moving averages show the average price of NCMI stock over a set time period and help traders see the overall trend by smoothening out the daily variation in price movement. The 20 day moving average of $25.76 is above the last closing price of $15.1 and the 50 day moving average of $24.03 is below the $15.1 price. The 10 and 20 day periods can predict short term moving average trends.
National CineMedia Bollinger Bands:
Bollinger bands comprise of a center line usually NCMI SMA, and two NCMI stock price bands above and below it. The stock is considered over brought when the price starts moving closer towards the upper band, and is considered oversold as stock price moves closer towards the lower band. Currently the stock price of $15.1 is in the lower range of National CineMedia bollinger bands.
National CineMedia Moving Average Convergence Divergence or MACD:
Two important concepts with respect to moving average convergence divergence or MACD are: crossovers and divergence. When the MACD rises above the signal line, it typically indicates a bullish trend and most likely the stock prices will go up. The National CineMedia MACD line is above the signal line.
National CineMedia Relative Strength Index:
The RSI technical indicator is a momentum oscillator. It compares the speed and change in price movements. If the RSI of NCMI stock goes above 70 it could indicate an overbought condition, and if it goes below 30 it could signal an oversold position. .