Needle moving action has been spotted in China National Building Material Co. Ltd (3323.HK) as shares are moving today on volatility 5.03% or 0.28 from the open. The HKSE listed company saw a recent bid of 5.85 and 39242000 shares have traded hands in the session.
Investors often have to figure out how aggressive they want to be when getting into the stock market. There are individuals who may have had some initial success based on random luck, but diving without preparation can leave investors on the short end of the stick in the long run. Investors may be tempted by the next hot stock that is being talked about around the water cooler. Investors might not realize how risky a certain stock may be, and they may find out that the over performer has already made the run. Doing all the homework may involve tracking technicals, fundamentals, current economic data, and earnings releases. Putting in the time to do the proper research may help the investor see profits down the road.
Digging deeping into the China National Building Material Co. Ltd (3323.HK) ‘s technical indicators, we note that the Williams Percent Range or 14 day Williams %R currently sits at -9.52. The Williams %R oscillates in a range from 0 to -100. A reading between 0 and -20 would point to an overbought situation. A reading from -80 to -100 would signal an oversold situation. The Williams %R was developed by Larry Williams. This is a momentum indicator that is the inverse of the Fast Stochastic Oscillator.
Investors are paying close attention to shares of China National Building Material Co. Ltd (3323.HK). A popular tool among technical stock analysts is the moving average. Moving averages are considered to be lagging indicators that simply take the average price of a stock over a specific period of time. Moving averages can be very useful for identifying peaks and troughs. They may also be used to help the trader figure out proper support and resistance levels for the stock. Currently, the 200-day MA is sitting at 4.87, and the 50-day is 5.21.
China National Building Material Co. Ltd (3323.HK) currently has a 14-day Commodity Channel Index (CCI) of 267.62. Active investors may choose to use this technical indicator as a stock evaluation tool. Used as a coincident indicator, the CCI reading above +100 would reflect strong price action which may signal an uptrend. On the flip side, a reading below -100 may signal a downtrend reflecting weak price action. Using the CCI as a leading indicator, technical analysts may use a +100 reading as an overbought signal and a -100 reading as an oversold indicator, suggesting a trend reversal.
The RSI, or Relative Strength Index, is a widely used technical momentum indicator that compares price movement over time. The RSI was created by J. Welles Wilder who was striving to measure whether or not a stock was overbought or oversold. The RSI may be useful for spotting abnormal price activity and volatility. The RSI oscillates on a scale from 0 to 100. The normal reading of a stock will fall in the range of 30 to 70. A reading over 70 would indicate that the stock is overbought, and possibly overvalued. A reading under 30 may indicate that the stock is oversold, and possibly undervalued. After a recent check, the 14-day RSI for China National Building Material Co. Ltd is currently at 66.29, the 7-day stands at 75.18, and the 3-day is sitting at 92.77.
Another technical indicator that may be a powerful resource for determining trend strength is the Average Directional Index or ADX. The ADX was introduced by J. Welles Wilder in the late 1970’s and it has stood the test of time. The ADX is typically used in conjunction with the Plus Directional Indicator (+DI) and Minus Directional Indicator (-DI) to help spot trend direction as well as trend strength. At the time of writing, the 14-day ADX for China National Building Material Co. Ltd (3323.HK) is noted at 43.81. Many technical analysts believe that an ADX value over 25 would suggest a strong trend. A reading under 20 would indicate no trend, and a reading from 20-25 would suggest that there is no clear trend signal.
Investors are always looking for any little advantage when trading the stock market. Scouring all the various data regarding publically traded companies can be overwhelming at times. Once the investor becomes familiar with the basics, they may be able to dive in deeper and focus on the essentials. Creating a winning strategy may not occur overnight. There may be times when even the best crafted plan does not play out as expected. Being flexible and having the proper tools in place can help the investor see the clearer picture when markets get muddy.