Berkshire Hathaway Technical Analysis (NYSE:BRK.A)
Technical analysis relies on the belief that future price movements of a stock can be forecasted through the study of historical market data and technical charts. The BRK.A stock chart pattern can give those who understand technical analysis an indication of which way BRK.A stock is headed, but cannot predict with 100% certainty as to what can happen to the Berkshire Hathaway stock price.
See Berkshire Hathaway 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 Berkshire Hathaway stock analysis.
Berkshire Hathaway Moving Average
Moving averages show the average price of BRK.A stock over a set time period and help traders see the overall trend by smoothening out the daily variation in price movement. The 20 day moving average of $295414.5 is above the last closing price of $294380 and the 50 day moving average of $298880.23 is above the last closing price of $294380. The 10 and 20 day periods can predict short term moving average trends.
Berkshire Hathaway Bollinger Bands
Bollinger bands consist of two price bands above and below a center line for any company stock like Berkshire Hathaway. The tightening of bands is considered by most traders to be a precursor to sudden increase in volatility. Currently the stock price of $294380 is in the lower range of Berkshire Hathaway bollinger bands.
Berkshire Hathaway 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 Berkshire Hathaway MACD indicator is below 0 indicating a bearish trend.
Berkshire Hathaway 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. The relative strength index of BRK.A stock is 56.2.