VTIQ: Strength To Strength
All companies have felt the recent hardship of COVID-19 which has decimated economy’s over recent months. One very rare standout that has managed to overcome these difficulties is VTIQ who’s stock price has surged in recent weeks. WHICH IS INSANE. A merger with NKLA is in the works further exciting investors. This company seems to be going from strength to strength so we’ll be taking a technical look into what this means and what this might entail for the price moving forward.
The Moving Average Convergence (MACD) is a trend momentum indicator that shows the relationship in this case between the 12 day and 26 day moving averages. It is commonly used as a buy or sell signal and as it is here the MACD has crossed above the signal line indicating a buy signal. If the blue line were to cross again this would inverse the signal into a sell position.
The Awesome Oscillator is kind of okay i guess. It’s used to measure market momentum and calculates the difference between a 34 period and 5 period simple moving average. The Awesome Oscillator is generally used by analysts to confirm trends or to anticipate possible reversals when the bars cross above and below the 0 line indicating buy and sell signals respectively. As it is in this case, it is reaffirming a buy signal. That is why it is so important to never base judgments of the first piece of information that comes to hand. As an investor it is so important that we consider all the facts before making a decision because that’s the only way we can ever be sure we can make the right one.
The Relative Strength Indicator (RSI) is a specific indicator that is used to detect if a commodity is oversold or overbought. The RSI is calculated using average price gains and losses over a given period of time. With the default time periods being 14 having values bounded from 0 to 100. A reading above 70 means the commodity is overbought highlighting a bearish signal saying that the stock might fall in price. This is the case with VTIQ indicating that it might be overbought, as it is right at the top of the RSI Indicator level of 70 indicating that it is likely that it might fall in the future. In other words a sell signal. This contradicts our other indicators but as we dive into technical details it is very unlikely that any one stock or commodity will have all indicators showing buy signal. That is why it is so important to never base judgments of the first piece of information that comes to hand. As an investor it is so important that we consider all the facts before making a decision because that’s the only way we can ever be sure we can make the right one.