Many individuals may have a tough time trying to figure out what actually drives financial markets. There are plenty of investing strategies and trading systems that individuals can use when trying to navigate the stock market. Sudden stock market moves can be mysterious, especially if the move goes against what professionals are expecting. When traders are just starting out, major market shifts can have the ability to wreak havoc if they are unprepared. Nobody wants to be on the losing end of a trade, but the reality is that it can happen at any time. Being prepared for the unknown isn’t easy, but it may be a good way to help ease the burden when markets get choppy.
Conducting technical analysis of the stock may include following the Keltner Channel indicator. A recent check shows the 20 day lower band at 1.0162038 and the 20 day upper band at 1.1003025 for Stage Stores, Inc. (NYSE:SSI). During a clearly defined trend, a break above or below these levels may point to the underlying strength of the trend. A break above the upper band may signal continuing bullish trend strength, and a break below the lower band may signal continuing bearish trend strength.
The SMA or Simple Moving Average can be calculated for different time periods. The SMA helps smooth out volatility and makes it a bit less difficult to gauge the price trend of a stock. Let’s view some popular SMA levels below for Stage Stores, Inc. (NYSE:SSI):
Simple Moving Average 20 day: 1.05283
Simple Moving Average 100 day: 1.003995
Simple Moving Average 10 day1.1025
Simple Moving Average 50 day: 0.957116
Simple Moving Average 30 day: 1.0160667
Simple Moving Average 200 day: 1.3859725
Investors tracking shares of Stage Stores, Inc. (NYSE:SSI) will note that since the stock opened at 1.12, shares have seen a change of -0.02. During that period, the stock has touched a low of 1.1 and tipped a high of 1.12. Volume on the day is presently 800.
The 20 day Chaikin Money Flow indicator is currently 0.29061806. This indicator was developed by Marc Chaikin who observed that the pressures of buying and selling could be figured out by where a period finishes relative to the range of highs and lows.
Traders may use a variety of moving average indicators when examining a particular stock. Checking on some Exponential Moving Averages, we note that the 200 day is 1.3291361, the 100 day is 1.089455, and the 50 day is 1.0109706. Zooming in closer, we note that the 30 day EMA is 1.0307281, the 20 day is 1.058253, and the 10 day is noted at 1.0895364.
Traders might be keeping tabs on the Hull Moving Average. The current HMA reading is 1.084611. Traders may use the HMA to help identify the prevalent market trend. This may also lend to spotting useful exit and entry points on the stock.
Investors will typically be keeping track of historical highs and lows for a particular stock that they are researching. Watching levels for Stage Stores, Inc. (NYSE:SSI, we can see that the all time high is currently 29.59, and the all time low is 0.666. Let’s look at some alternate high/low price data:
Six month low: 0.666
Six month high: 2.15
One year low: 0.666
One year high: 3.25
Three month low: 0.666
Three month high: 1.63
One month low: 0.897
One month high: 1.22
Successful traders are typically skilled at building highly disciplined trading systems. These systems that they create may range from very simple to highly complex. Traders may need to fine tune the system to suit their specific needs and goals. Finding a little edge can lead to big rewards when dealing with the stock market. It is important to remember that a trading system that works for one person may not work for another. Novice traders may realize how hard it is to actually bring home healthy returns. Acquiring the necessary knowledge may take a long time, but putting in the effort and doing all the homework may help give the trader an advantage over the long run. Many successful stock market traders will be the first ones to admit that finding success is not going to happen overnight. Staying disciplined and being able to learn from mistakes can also go a long way when dealing with the ever-changing equity market landscape.