PB Bancorp Technical Analysis (NASDAQ:PBBI)
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. Just by looking at the PB Bancorp 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 PBBI stock chart which creates a trading signal.
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 PB Bancorp. Technical analysis essentially tries to study the supply and demand for a particular security and determine the stock trends for that security. Chartists use stock price movements for this form of PB Bancorp stock analysis.
PB Bancorp Moving Average:
Moving averages show the average price of PBBI stock over a set time period and help traders see the overall trend by smoothening out the daily variation in price movement. 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 PBBI stock price movement for the moving average to change course.
PB Bancorp Bollinger Bands:
Bollinger bands comprise of a center line usually PBBI SMA, and two PBBI 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.
PB Bancorp 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 PB Bancorp MACD indicator can be used to identify bullish and bearish trends for the stock.
PB Bancorp Relative Strength Index:
The relative strength index compares the magnitude of recent gains to recent losses and is a momentum indicator. It attempts to assess overbought and oversold conditions of a stock. .