Sequans Communications Technical Analysis (NYSE:SQNS)
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 SQNS stock chart pattern can give those who understand technical analysis an indication of which way SQNS stock is headed, but cannot predict with 100% certainty as to what can happen to the Sequans Communications stock price.
See Sequans Communications bollinger bands, SMA - 200 day moving average, 50 day moving average and exponential moving averages. 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 Sequans Communications stock analysis.
Sequans Communications Moving Average
Moving averages show the average price of SQNS stock over a set time period and help traders see the overall trend by smoothening out the daily variation in price movement. A key factor that impacts moving averages is the lag factor. The 20 day moving average of $1.98 is below the price of $2.09.
Sequans Communications Bollinger Bands
Bollinger bands consist of two price bands above and below a center line for any company stock like Sequans Communications. The tightening of bands is considered by most traders to be a precursor to sudden increase in volatility. The stock price is trading between the average and the upper band in the context of Sequans Communications bollinger bands.
Sequans Communications 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 Sequans Communications MACD line is above the signal line.
Sequans Communications 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. If the RSI of SQNS stock goes above 70 it could indicate an overbought condition, and if it goes below 30 it could signal an oversold position.