Cato Corp Technical Analysis (NYSE:CATO)
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 CATO stock chart pattern can give those who understand technical analysis an indication of which way CATO stock is headed, but cannot predict with 100% certainty as to what can happen to the Cato Corp stock price.
See Cato Corp bollinger bands, SMA - 200 day moving average, 50 day moving average and exponential moving averages. The technical analysis form of Cato Corp stock analysis tries to understand the market by studying the stock market trend itself as opposed to other aspects like the company's fundamentals.
Cato Corp Moving Average
Moving averages show the average price of CATO stock over a set time period and help traders see the overall trend by smoothening out the daily variation in price movement. The longer the duration of the moving average, the higher the lag. For example, 200 day moving averages for Cato Corp are mostly signals of long term trends and will help long term traders.
Cato Corp Bollinger Bands
Bollinger bands consist of two price bands above and below a center line for any company stock like Cato Corp. The tightening of bands is considered by most traders to be a precursor to sudden increase in volatility. Currently the stock price of $20.41 is in the lower range of Cato Corp bollinger bands.
Cato Corp Moving Average Convergence Divergence or MACD
The moving average convergence divergence or MACD is a technical indicator which helps gauge the stock price trend, as the indicator is useful in understanding the strength, direction and momentum of the stock price. The Cato Corp MACD indicator is above 0 indicating a bullish trend.
Cato Corp 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 CATO stock goes above 70 it could indicate an overbought condition, and if it goes below 30 it could signal an oversold position.