Penske Automotive Technical Analysis (NYSE:PAG)
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 PAG stock chart pattern can give those who understand technical analysis an indication of which way PAG stock is headed, but cannot predict with 100% certainty as to what can happen to the Penske Automotive stock price.
See Penske Automotive bollinger bands, SMA - 200 day moving average, 50 day moving average and exponential moving averages. Technical analysis uses an approach for Penske Automotive stock analysis that does not care for the fair value of a company but uses price and volume data only.
Penske Automotive Moving Average
Moving averages show the PAG 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 $50.94 is below the last closing price of $51.89 and the 50 day moving average of $50.01 is below the last closing price of $51.89. The 10 and 20 day periods can predict short term moving average trends.
Penske Automotive Bollinger Bands
Bollinger bands comprise of a center line usually PAG SMA, and two PAG 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. The stock price is trading between the average and the upper band in the context of Penske Automotive bollinger bands.
Penske Automotive 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 Penske Automotive MACD line is above the signal line.
Penske Automotive Relative Strength Index
The RSI technical indicator is a momentum oscillator. It compares the speed and change in price movements. The relative strength index of PAG stock is 50.27.