State Street Technical Analysis (NYSE:STT)
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. Just by looking at the State Street 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 STT stock chart which creates a trading signal.
See State Street 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 State Street stock analysis.
State Street Moving Average
Moving averages help predict the price direction of STT 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 State Street are mostly signals of long term trends and will help long term traders.
State Street Bollinger Bands
Bollinger bands comprise of a center line usually STT SMA, and two STT 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. State Street bollinger bands show that the stock price is $106.15, upper band is 109.15, lower band is 102.81, and the average is 105.98.
State Street 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 State Street MACD indicator can be used to identify bullish and bearish trends for the stock.
State Street 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 STT stock is 50.