Devon Energy Technical Analysis (NYSE:DVN)
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. Just by looking at the Devon Energy 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 DVN stock chart which creates a trading signal.
See Devon Energy bollinger bands, SMA - 200 day moving average, 50 day moving average and exponential moving averages. The technical analysis form of Devon Energy stock analysis tries to understand the market by studying the stock market trend itself as opposed to other aspects like the company's fundamentals.
Devon Energy Moving Average
Moving averages help predict the price direction of DVN stock based on certain triggers, but with a lag, and form building blocks for other technical indicators like the MACD and bollinger bands. A key factor that impacts moving averages is the lag factor. The 20 day moving average of $43.96 is above the price of $42.07.
Devon Energy Bollinger Bands
Bollinger bands comprise of a center line usually DVN SMA, and two DVN 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. Devon Energy bollinger bands show that the stock price is $42.07, upper band is 45.66, lower band is 42.27, and the average is 43.96.
Devon Energy 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 Devon Energy MACD indicator is below 0 indicating a bearish trend.
Devon Energy Relative Strength Index
The RSI technical indicator is a momentum oscillator. It compares the speed and change in price movements. If the RSI of DVN stock goes above 70 it could indicate an overbought condition, and if it goes below 30 it could signal an oversold position.