Bank of Nova Scotia Technical Analysis (NYSE:BNS)
Technical analysis is the study of stock price and volume data through technical charts. This analysis does not take into account the intrinsic value of a stock. Just by looking at the Bank of Nova Scotia 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 BNS stock chart which creates a trading signal.
View technical indicators like moving averages - SMA and EMA, and bollinger bands for Bank of Nova Scotia. The technical analysis form of Bank of Nova Scotia stock analysis tries to understand the market by studying the stock market trend itself as opposed to other aspects like the company's fundamentals.
Bank of Nova Scotia Moving Average
Moving averages show the average price of BNS stock over a set time period and help traders see the overall trend by smoothening out the daily variation in price movement. A key factor that impacts moving averages is the lag factor. The 20 day moving average of $57.2 is below the price of $57.91.
Bank of Nova Scotia Bollinger Bands
Bollinger bands consist of two price bands above and below a center line for any company stock like Bank of Nova Scotia. The tightening of bands is considered by most traders to be a precursor to sudden increase in volatility. Bank of Nova Scotia bollinger bands show that the stock price is $57.91, upper band is 58.19, lower band is 56.21, and the average is 57.2.
Bank of Nova Scotia 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 Bank of Nova Scotia MACD indicator can be used to identify bullish and bearish trends for the stock.
Bank of Nova Scotia Relative Strength Index
The relative strength index compares the magnitude of recent gains to recent losses and is a momentum indicator. It attempts to assess overbought and oversold conditions of a stock. If the RSI of BNS stock goes above 70 it could indicate an overbought condition, and if it goes below 30 it could signal an oversold position.