Izmo Ltd (IZMO.BO) share levels are being closely watched as the equity has touched it’s lower Bollinger Band, reaching 70.40 on a recent tick.
The Bollinger Band theory is designed to depict the volatility of a stock. It is quite basic, being composed of a simple moving average, and its upper and lower “bands” that are 2 standard deviations away. Standard deviations are a statistical tool used to contain the majority of movement or “deviation” around an average value. Bear in mind that when you use the Bollinger Band theory, it only works as a gauge or guide, and should be use with other indicators.
Traders generally use Bollinger Bands to determine overbought and oversold zones, to confirm divergences between prices and studies, and to project price targets. The wider the bands, the greater the volatility. The narrower the bands, the lesser the volatility.
Technical analysts might also consider some other factors when weighing their options on shares of Izmo Ltd (IZMO.BO). The Relative Strength Index (RSI) is one of multiple popular technical indicators created by J. Welles Wilder. Wilder introduced RSI in his book “New Concepts in Technical Trading Systems” which was published in 1978. RSI measures the magnitude and velocity of directional price movements. The data is represented graphically by fluctuating between a value of 0 and 100. The indicator is computed by using the average losses and gains of a stock over a certain time period. RSI can be used to help spot overbought or oversold conditions. An RSI reading over 70 would be considered overbought, and a reading under 30 would indicate oversold conditions. A level of 50 would indicate neutral market momentum. Presently, the 14-day RSI is standing at 54.34, the 7-day is 58.32, and the 3-day is resting at 37.28.
Currently, the 14-day ADX for Izmo Ltd (IZMO.BO) is sitting at 10.83. Generally speaking, an ADX value from 0-25 would indicate an absent or weak trend. A value of 25-50 would support a strong trend. A value of 50-75 would identify a very strong trend, and a value of 75-100 would lead to an extremely strong trend. ADX is used to gauge trend strength but not trend direction. Traders often add the Plus Directional Indicator (+DI) and Minus Directional Indicator (-DI) to identify the direction of a trend.
Investors have the ability to use technical indicators when completing stock research. At the time of writing, Izmo Ltd (IZMO.BO) has a 14-day Commodity Channel Index (CCI) of 51.02. Developed by Donald Lambert, the CCI is a versatile tool that may be used to help spot an emerging trend or provide warning of extreme conditions. In terms of Moving Averages, the 7-day is resting at 72.81. Moving averages have the ability to be used as a powerful indicator for technical stock analysis. Interested traders may be keeping an eye on the Williams Percent Range or Williams %R. Williams %R is a popular technical indicator created by Larry Williams to help identify overbought and oversold situations. Izmo Ltd (IZMO.BO)’s Williams Percent Range or 14 day Williams %R currently sits at -41.25. In general, if the indicator goes above -20, the stock may be considered overbought. Alternately, if the indicator goes below -80, this may point to the stock being oversold.