American Residential Properties Technical Analysis (NYSE:ARPI)
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 ARPI stock chart pattern can give those who understand technical analysis an indication of which way ARPI stock is headed, but cannot predict with 100% certainty as to what can happen to the American Residential Properties stock price.
See American Residential Properties 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 American Residential Properties stock analysis.
American Residential Properties Moving Average
Moving averages help predict the price direction of ARPI stock based on certain triggers, but with a lag, and form building blocks for other technical indicators like the MACD and bollinger bands. The 20 day moving average of $15.88 is below the last closing price of $15.89 and the 50 day moving average of $16.98 is above the last closing price of $15.89. The 10 and 20 day periods can predict short term moving average trends.
American Residential Properties Bollinger Bands
Bollinger Bands were developed by the famous technical trader John Bollinger and are a measure of the volatility of a stock like the ARPI stock. Currently the stock price of $15.89 is in the upper range of American Residential Properties bollinger bands.
American Residential Properties 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 American Residential Properties MACD indicator is below 0 indicating a bearish trend.
American Residential Properties Relative Strength Index
The RSI technical indicator is a momentum oscillator. It compares the speed and change in price movements. If the RSI of ARPI stock goes above 70 it could indicate an overbought condition, and if it goes below 30 it could signal an oversold position.