Pearson Technical Analysis (NYSE:PSO)
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 PSO stock chart pattern can give those who understand technical analysis an indication of which way PSO stock is headed, but cannot predict with 100% certainty as to what can happen to the Pearson stock price.
View technical indicators like moving averages - SMA and EMA, and bollinger bands for Pearson. Technical analysis essentially tries to study the supply and demand for a particular security and determine the stock trends for that security. Chartists use stock price movements for this form of Pearson stock analysis.
Pearson Moving Average
Moving averages help predict the price direction of PSO 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 $11.86 is above the price of $11.71.
Pearson Bollinger Bands
Bollinger bands consist of two price bands above and below a center line for any company stock like Pearson. The tightening of bands is considered by most traders to be a precursor to sudden increase in volatility. Pearson bollinger bands show that the stock price is $11.71, upper band is 12.26, lower band is 11.46, and the average is 11.86.
Pearson 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 Pearson MACD line is above the signal line.
Pearson 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 PSO stock is 41.86.