Transdigm Technical Analysis (NYSE:TDG)
Technical analysis is the study of stock price and volume data through technical charts. This analysis does not take into account the intrinsic value of a stock. Just by looking at the Transdigm 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 TDG stock chart which creates a trading signal.
See Transdigm bollinger bands, SMA (200 day moving average, 50 day moving average) and exponential moving averages. Technical analysis is used by finance professionals and is popular among traders, especially day traders. Undertaking Transdigm stock analysis using these technical indicators helps identify trading opportunities.
Transdigm Moving Average:
TDG stock price movements can be forecasted by using triggers based on moving averages, which are also some of the simplest technical indicators. The way the averages are calculated in each of the 2 popular cases, that is SMA and EMA varies, however the interpretation of Transdigm chart patterns after the calculations remain the same. The 100 day moving average of 252.78 is below the last closing price of 286.05. The longer the duration of the moving average, the higher the lag. For example, 200 day moving averages for Transdigm are mostly signals of long term trends and will help long term traders.
Transdigm Bollinger Bands:
Bollinger bands consist of two price bands above and below a center line for any company stock like Transdigm. 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 lower band in the context of Transdigm bollinger bands.
Transdigm Moving Average Convergence Divergence or MACD:
The moving average convergence divergence or MACD is a technical indicator which helps gauge the stock price trend, as the indicator is useful in understanding the strength, direction and momentum of the stock price. The Transdigm MACD indicator is below 0 indicating a bearish trend.
Transdigm Relative Strength Index:
The RSI is a valuable tool to determine overbought / oversold stocks and measures the recent performance of a stock in relation to its own stock price history. If the RSI of TDG stock goes above 70 it could indicate an overbought condition, and if it goes below 30 it could signal an oversold position. .