E*TRADE Technical Analysis (NASDAQ:ETFC)
Technical analysis is the study of stock price and volume data through technical charts. This analysis does not take into account the intrinsic value of a stock. Just by looking at the E*TRADE 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 ETFC stock chart which creates a trading signal.
View technical indicators like moving averages - SMA and EMA, and bollinger bands for E*TRADE. The technical analysis form of E*TRADE stock analysis tries to understand the market by studying the stock market trend itself as opposed to other aspects like the company's fundamentals.
E*TRADE Moving Average
Moving averages show the ETFC 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. The 20 day moving average of $60.64 is below the last closing price of $61.19 and the 50 day moving average of $61.73 is above the last closing price of $61.19. The 10 and 20 day periods can predict short term moving average trends.
E*TRADE Bollinger Bands
Bollinger bands comprise of a center line usually ETFC SMA, and two ETFC 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 $61.19 is in the upper range of E*TRADE bollinger bands.
E*TRADE 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 E*TRADE MACD indicator is below 0 indicating a bearish trend.
E*TRADE 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 ETFC stock goes above 70 it could indicate an overbought condition, and if it goes below 30 it could signal an oversold position.