Discover Financial Technical Analysis (NYSE:DFS)
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 DFS stock chart pattern can give those who understand technical analysis an indication of which way DFS stock is headed, but cannot predict with 100% certainty as to what can happen to the Discover Financial stock price.
View technical indicators like moving averages - SMA and EMA, and bollinger bands for Discover Financial. The technical analysis form of Discover Financial stock analysis tries to understand the market by studying the stock market trend itself as opposed to other aspects like the company's fundamentals.
Discover Financial Moving Average
Moving averages show the DFS stock price trend. The two most popular types of moving averages are the Simple Moving Average or SMA and the Exponential Moving Average or EMA. A key factor that impacts moving averages is the lag factor. The 20 day moving average of $73.63 is below the price of $77.3.
Discover Financial Bollinger Bands
Bollinger bands consist of two price bands above and below a center line for any company stock like Discover Financial. The tightening of bands is considered by most traders to be a precursor to sudden increase in volatility. Currently the stock price of $77.3 is in the upper range of Discover Financial bollinger bands.
Discover Financial 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 Discover Financial MACD indicator can be used to identify bullish and bearish trends for the stock.
Discover Financial Relative Strength Index
The RSI technical indicator is a momentum oscillator. It compares the speed and change in price movements. 68.25 is the RSI value of DFS stock.