Raytheon Technical Analysis (NYSE:RTN)
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 Raytheon 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 RTN stock chart which creates a trading signal.
View technical indicators like moving averages (SMA and EMA), and bollinger bands for Raytheon. Technical analysis uses an approach for Raytheon stock analysis that does not care for the fair "value" of a company but uses price and volume data only.
Raytheon Moving Average:
RTN stock price movements can be forecasted by using triggers based on moving averages, which are also some of the simplest technical indicators. The way the averages are calculated in each of the 2 popular cases, that is SMA and EMA varies, however the interpretation of Raytheon chart patterns after the calculations remain the same. The 100 day moving average of 7.06 is below the last closing price of 139.75. A rise in trend over the long term indicates a long term uptrend. Similarly a falling RTN moving average implies that Raytheon stock price is falling.
Raytheon Bollinger Bands:
Bollinger Bands developed from the concept of trading bands and can be used to measure the high-low range of Raytheon stock price relative to previous trades. Raytheon bollinger bands show that the stock price is $139.75, upper band is 151.09, lower band is 107.89, and the average is 129.49.
Raytheon 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 Raytheon MACD indicator is below 0 indicating a bearish trend.
Raytheon Relative Strength Index:
The RSI technical indicator is a momentum oscillator. It compares the speed and change in price movements. If the RSI of RTN stock goes above 70 it could indicate an overbought condition, and if it goes below 30 it could signal an oversold position. .