Covanta Holding Technical Analysis (NYSE:CVA)
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. The Covanta Holding stock price data and volume are plotted in CVA stock charts and these trading charts form the basis of technical analysis.
See Covanta Holding 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 Covanta Holding stock analysis.
Covanta Holding Moving Average
Moving averages help predict the price direction of CVA 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 Covanta Holding are mostly signals of long term trends and will help long term traders.
Covanta Holding Bollinger Bands
Bollinger bands comprise of a center line usually CVA SMA, and two CVA 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. Covanta Holding bollinger bands show that the stock price is $17.45, upper band is 18.14, lower band is 16.19, and the average is 17.16.
Covanta Holding 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 Covanta Holding MACD indicator is below 0 indicating a bearish trend.
Covanta Holding 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 CVA stock goes above 70 it could indicate an overbought condition, and if it goes below 30 it could signal an oversold position.