Advanced Semiconductor Technical Analysis (NYSE:ASX)
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. Just by looking at the Advanced Semiconductor 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 ASX stock chart which creates a trading signal.
See Advanced Semiconductor 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 Advanced Semiconductor stock analysis.
Advanced Semiconductor Moving Average
Moving averages show the ASX stock price trend. The two most popular types of moving averages are the Simple Moving Average or SMA and the Exponential Moving Average or EMA. The 20 day moving average of $6.99 is above the last closing price of $6.88 and the 50 day moving average of $6.74 is below the last closing price of $6.88. The 10 and 20 day periods can predict short term moving average trends.
Advanced Semiconductor Bollinger Bands
Bollinger bands consist of two price bands above and below a center line for any company stock like Advanced Semiconductor. The tightening of bands is considered by most traders to be a precursor to sudden increase in volatility. Advanced Semiconductor bollinger bands show that the stock price is $6.88, upper band is 7.44, lower band is 6.53, and the average is 6.99.
Advanced Semiconductor 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 Advanced Semiconductor MACD indicator can be used to identify bullish and bearish trends for the stock.
Advanced Semiconductor 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 ASX stock goes above 70 it could indicate an overbought condition, and if it goes below 30 it could signal an oversold position.