Canadian Solar Technical Analysis (NASDAQ:CSIQ)
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 Canadian Solar 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 CSIQ stock chart which creates a trading signal.
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 Canadian Solar. The technical analysis form of Canadian Solar stock analysis tries to understand the market by studying the stock market trend itself as opposed to other aspects like the company's fundamentals.
Canadian Solar Moving Average
Moving averages help predict the price direction of CSIQ stock based on certain triggers, but with a lag, and form building blocks for other technical indicators like the MACD and bollinger bands. The longer the duration of the moving average, the higher the lag. For example, 200 day moving averages for Canadian Solar are mostly signals of long term trends and will help long term traders.
Canadian Solar Bollinger Bands
Bollinger Bands were developed by the famous technical trader John Bollinger and are a measure of the volatility of a stock like the CSIQ stock. The stock price is trading between the average and the lower band in the context of Canadian Solar bollinger bands.
Canadian Solar 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 Canadian Solar MACD indicator is below 0 indicating a bearish trend.
Canadian Solar 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 CSIQ stock goes above 70 it could indicate an overbought condition, and if it goes below 30 it could signal an oversold position.