Siliconware Precision Industries Technical Analysis (NASDAQ:SPIL)
Technical analysis is based on the study of past price and volume movements of a security with the help of technical stock charts or trading charts. Just by looking at the Siliconware Precision Industries 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 SPIL stock chart which creates a trading signal.
View technical indicators like moving averages - SMA and EMA, and bollinger bands for Siliconware Precision Industries. 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 Siliconware Precision Industries stock analysis.
Siliconware Precision Industries Moving Average
Moving averages help predict the price direction of SPIL 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 Siliconware Precision Industries are mostly signals of long term trends and will help long term traders.
Siliconware Precision Industries Bollinger Bands
Bollinger bands consist of two price bands above and below a center line for any company stock like Siliconware Precision Industries. The tightening of bands is considered by most traders to be a precursor to sudden increase in volatility. Currently the stock price of $8.6 is in the upper range of Siliconware Precision Industries bollinger bands.
Siliconware Precision Industries 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 Siliconware Precision Industries MACD indicator can be used to identify bullish and bearish trends for the stock.
Siliconware Precision Industries Relative Strength Index
The relative strength index compares the magnitude of recent gains to recent losses and is a momentum indicator. It attempts to assess overbought and oversold conditions of a stock. 59.26 is the RSI value of SPIL stock.