Archer Daniels Midland Technical Analysis (NYSE:ADM)
Technical analysis is based on the study of past price and volume movements of a security with the help of technical stock charts or trading charts. The ADM stock chart pattern can give those who understand technical analysis an indication of which way ADM stock is headed, but cannot predict with 100% certainty as to what can happen to the Archer Daniels Midland stock price.
View technical indicators like moving averages - SMA and EMA, and bollinger bands for Archer Daniels Midland. Technical analysis uses an approach for Archer Daniels Midland stock analysis that does not care for the fair value of a company but uses price and volume data only.
Archer Daniels Midland Moving Average
Moving averages help predict the price direction of ADM stock based on certain triggers, but with a lag, and form building blocks for other technical indicators like the MACD and bollinger bands. The longer the duration of the moving average, the higher the lag. For example, 200 day moving averages for Archer Daniels Midland are mostly signals of long term trends and will help long term traders.
Archer Daniels Midland Bollinger Bands
Bollinger bands consist of two price bands above and below a center line for any company stock like Archer Daniels Midland. The tightening of bands is considered by most traders to be a precursor to sudden increase in volatility. Currently the stock price of $42.12 is in the lower range of Archer Daniels Midland bollinger bands.
Archer Daniels Midland Moving Average Convergence Divergence or MACD
The moving average convergence divergence or MACD is a technical indicator which helps assess the stock price trend. Traders usually wait for a confirmed crossover signal before entering into a trading position. Divergence implies that the current stock price trend could come to an end, when the stock price diverges from MACD. The Archer Daniels Midland MACD indicator can be used to identify bullish and bearish trends for the stock.
Archer Daniels Midland Relative Strength Index
This technical indicator compares the relative strength or weakness of a stock. It measures the magnitude of rise or fall in stock price movements . If the RSI of ADM stock goes above 70 it could indicate an overbought condition, and if it goes below 30 it could signal an oversold position.