Old Second Bancorp Technical Analysis (NASDAQ:OSBC)
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 Old Second Bancorp 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 OSBC stock chart which creates a trading signal.
See Old Second Bancorp bollinger bands, SMA - 200 day moving average, 50 day moving average and exponential moving averages. The technical analysis form of Old Second Bancorp stock analysis tries to understand the market by studying the stock market trend itself as opposed to other aspects like the company's fundamentals.
Old Second Bancorp Moving Average
Moving averages help predict the price direction of OSBC 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 Old Second Bancorp are mostly signals of long term trends and will help long term traders.
Old Second Bancorp Bollinger Bands
Bollinger bands consist of two price bands above and below a center line for any company stock like Old Second Bancorp. The tightening of bands is considered by most traders to be a precursor to sudden increase in volatility. Old Second Bancorp bollinger bands show that the stock price is $14.85, upper band is 15.53, lower band is 14.3, and the average is 14.91.
Old Second Bancorp 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 Old Second Bancorp MACD indicator can be used to identify bullish and bearish trends for the stock.
Old Second Bancorp 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 OSBC stock goes above 70 it could indicate an overbought condition, and if it goes below 30 it could signal an oversold position.