The Awesome Oscillator for Bowen Coking Coal Limited (BCB.AX) is showing a five day consistent downtrend, signaling building market momentum for the shares.  Author and trader Bill Williams created The Awesome Oscillator Indicator (AO) and outlined the theory and calculation in his book “New Trading Dimensions”.  The indicator shows the difference between two simple moving averages that can help define moving strength of the market. Bill Williams developed this indicator on the basis of earlier existed MACD and made a number of changes. The Awesome Oscillator subtracts a 34 period simple moving average (SMA) from a 5 period SMA. It illustrates what’s happening to the market driving force at the present moment.  The interpretation is similar to MACD including buying when the oscillator crosses through the zero line to the upside and selling when it crosses back below. Of course, this will result is many false signals in flat or choppy markets.  As with most indicators, the AO is best used alongside additional technical signals.

Investors may be trying to figure out which chart patterns or technical indicators to use. This may take some time to figure out which strategy works for each individual. Back testing specific indicators can be a good way to personally evaluate a particular method. Many investors will opt to follow trading strategies of the professionals. This may work well for some but not others. Figuring out what works and what doesn’t should help the investor make better future decisions. Some investors will choose to go against the grain and develop a contrarian approach. Pulling out substantial profits in the markets may seem like a daunting task. Playing things safe may be the choice for one investor but not the next. Many people will choose to adhere to the old saying of nothing ventured nothing gained. This of course may vary from investor to investor depending on the amount of capital available. 

Digging deeper into some additional technical signals, presently, Bowen Coking Coal Limited (BCB.AX) has a 14-day ATR of 0.00. The Average True Range is widely used metric that helps gauge the volatility of a particular stock. The ATR is not used to measure price direction, just to measure volatility. The ATR is an indicator developed by J. Welles Wilder. Wilder has developed multiple indicators that are still quite popular in today’s investing landscape. The general interpretation of the ATR is the higher the ATR value, the higher the volatility.

The Williams Percent Range or Williams %R is another technical indicator worth checking out. Bowen Coking Coal Limited (BCB.AX) currently has a 14 day Williams %R of -33.33. The Williams %R fluctuates between 0 and -100 measuring whether a security is overbought or oversold. The Williams %R is similar to the Stochastic Oscillator except it is plotted upside-down. Levels above -20 may indicate the stock may be considered is overbought. If the indicator travels under -80, this may signal that the stock is oversold. Chart analysts may also use the indicator to project possible price reversals and to define trends.

The Average Directional Index or ADX is technical analysis indicator used to discern if a market is trending or not trending. The ADX alone measures trend strength but not direction. Using the ADX with the Plus Directional Indicator (+DI) and Minus Directional Indicator (-DI) may help determine the direction of the trend as well as the overall momentum. Many traders will use the ADX alongside other indicators in order to help spot proper trading entry/exit points. Currently, the 14-day ADX for Bowen Coking Coal Limited (BCB.AX) is 14.52. Generally speaking, an ADX value from 0-25 would indicate an absent or weak trend. A value of 25-50 would indicate a strong trend. A value of 50-75 would signal a very strong trend, and a value of 75-100 would indicate an extremely strong trend.

Traders may be leaning on technical stock analysis to help with investing decisions. Bowen Coking Coal Limited (BCB.AX) currently has a 14-day Commodity Channel Index (CCI) of 66.67. Despite the name, CCI can be used on other investment tools such as stocks. The CCI was designed to typically stay within the reading of -100 to +100. Traders may use the indicator to determine stock trends or to identify overbought/oversold conditions. A CCI reading above +100 would imply that the stock is overbought and possibly ready for a correction. On the other hand, a reading of -100 would imply that the stock is oversold and possibly set for a rally.

Traders are paying renewed attention to shares of Bowen Coking Coal Limited (BCB.AX). The current 14-day RSI is presently sitting at 55.84, the 7-day is 59.21, and the 3-day is 53.86. The RSI, or Relative Strength Index is a popular oscillating indicator among traders and investors. The RSI operates in a range-bound area with values between 0 and 100. When the RSI line moves up, the stock may be experiencing strength. The opposite is the case when the RSI line is heading lower. Different time periods may be used when using the RSI indicator. The RSI may be more volatile using a shorter period of time. Many traders keep an eye on the 30 and 70 marks on the RSI scale. A move above 70 is widely considered to show the stock as overbought, and a move below 30 would indicate that the stock may be oversold. Traders may use these levels to help identify stock price reversals.