Valeant Technical Analysis (NYSE:VRX)
Technical analysis is the study of technical chart patterns and does not rely on the financials of a company. The Valeant stock price data and volume are plotted in VRX stock charts and these trading charts form the basis of technical analysis.
See Valeant bollinger bands, SMA (200 day moving average, 50 day moving average) and exponential moving averages. 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 Valeant stock analysis.
Valeant Moving Average:
VRX 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 Valeant chart patterns after the calculations remain the same. The 100 day moving average of 2.49 is above the last closing price of 16.4. A key factor that impacts moving averages is the lag factor. The 20 day moving average of $2.26 is above the price of $16.4.
Valeant Bollinger Bands:
Bollinger bands comprise of a center line usually VRX SMA, and two VRX 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 $16.4 is in the upper range of Valeant bollinger bands.
Valeant 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 Valeant MACD indicator is below 0 indicating a bearish trend.
Valeant 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. 48.68 is the RSI value of VRX stock. .