China Information Tech Technical Analysis (NASDAQ:CNIT)
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 China Information Tech stock price data and volume are plotted in CNIT stock charts and these trading charts form the basis of technical analysis.
You can view Simple Moving Average - SMA 20 day, 50 day & 100 day, Exponential Moving Average - EMA 20 day, 50 day & 100 day charts, and Bollinger Bands for China Information Tech. 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 China Information Tech stock analysis.
China Information Tech Moving Average
Moving averages show the average price of CNIT 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 $2.06 is above the price of $1.95.
China Information Tech Bollinger Bands
Bollinger bands comprise of a center line usually CNIT SMA, and two CNIT stock price bands above and below it. The stock is considered overbought when the price starts moving closer towards the upper band, and is considered oversold as stock price moves closer towards the lower band. Currently the stock price of $1.95 is in the lower range of China Information Tech bollinger bands.
China Information Tech 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 China Information Tech MACD line is above the signal line.
China Information Tech Relative Strength Index
The RSI technical indicator is a momentum oscillator. It compares the speed and change in price movements. 33.33 is the RSI value of CNIT stock.