Explanation to Bollinger's Bands
Bollinger Bands was created by John Bollinger in the early 1980s, which purpose is to provide a relative definition of high and low. This defintion is used to identify buy and sell signals and have proven very well in doing so.
Bollinger Bands consist of a set of three curves drawn in relation to securities prices. The middle band is a measure of the intermediate-term trend, usually a simple moving average, that serves as the base for the upper and lower bands. The interval between the upper and lower bands and the middle band is determined by volatility, typically the standard deviation of the same data that were used for the average. Get-A-Graph uses Bollingers suggested 20 day average.
Middle Bollinger Band = 20-period simple moving average
Upper Bollinger Band = Middle Bollinger Band + 2 * 20-period standard deviation
Lower Bollinger Band = Middle Bollinger Band - 2 * 20-period standard deviation
BandWidth defines the current width of the band.
%b defines the current position within the band.
BandWidth = (Upper Bollinger Band - Lower Bollinger Band) / Middle Bollinger Band
%b = (Last - Lower Bollinger Band) / (Upper Bollinger Band - Lower Bollinger Band)
Bottlenecks in bandwidth indicates a upcoming change. Break up through the moving average line, or continuously movements above the moving average line indicates a break up, and vice versa downwards.
IDOX.L Forecast and Technical Stock Analysis
Buy candidate since 2019-12-09 PDF
Idox gained 2.64% in the last trading day ( Monday, 9th Dec 2019 ), rising from £0.34 to £0.35 During the day the stock fluctuated 2.94% from a day low at £0.34 to a day high of £0.35. The price has fallen in 5 of the last 10 days and is down by -0.71% for this period. Volume fell in the last day by -216 358 shares and in total, 393 525 shares bought and sold for approximately £137 734.00. You should take into consideration that a falling volume on higher prices causes divergence and may be an early warning about possible changes for the next couple of days.
- 30 day high of the IDOX.L stock price was £0.36 and low was £0.34.
- 90 day high was £0.36 and low was £0.31.
- 52 week high for Idox - £33.90 and low - £0.27.
Idox lies in the lower part of a wide and strong rising trend in the short term, and this may normally pose a very good buying opportunity. A break down the bottom trend line at £0.34 will firstly indicate a slower raising rate, but may also be a early warning for a trend shift. Given the current short-term trend, the stock is expected to rise 13.28% during the next 3 months and, with 90% probability hold a price between £0.39 and £0.43 at the end of this period.
Idox holds buy signals from both short- and long-term moving averages. In addition, there is a general buy signal from the relation between the two signals where the short-term average is above the long-term average. On corrections down there will be some support from the lines at £0.35 and £0.35. A break down below any of these levels will issue sell signals. A buy signal was issued from a pivot bottom point on Friday December 06, 2019, which indicates further gains until a new top pivot has been found. Some negative signals were issued as well, and these may have some influence on the near short-term development. Volume fell during the last trading day while the price increased. This causes a divergence and may be considered as an early warning, but it may also not.
Relative Strength Index (RSI)
RSImin/max Values: [ 20 - 80 ]
RSI14 is 46 and the stock is currently not being overbought or oversold
* Stockinvest.us uses dynamical calculated RSI max/min levels to determine when stock is oversold or overbought based on historical behaviour.
Support & Resistance
On the downside, the stock finds support just below today's level from accumulated volume at £0.33 and £0.31.
There is natural risk involved when a stock is testing a support level, since if this is broken, the stock then may fall to the next support level. In this case, Idox finds support just below today's level at £0.33. If this is broken, then the next support from accumulated volume will be at £0.31 and £0.31.
In general the stock tends to have controlled movements, but the low liquidity has increased the risk substantially.
Our recommended stop-loss: £0.33 (-4.69%) (This stock has low daily movements and this gives low risk. There is a buy signal from pivot bottom found 1 days ago.)
2.97 %Average volatility
Very Low Low Medium High Very High
Several short-term signals, along with a general good trend, are positive and we conclude that the current level may hold a buying opportunity as there is a fair chance for this stock to perform well in the short-term. We have upgraded our analysis conclusion for this stock since last evaluation from a Strong Sell Candidate to a Buy Candidate candidate.
Golden Star Signal
This unique signal uses moving averages and adds special requirements that convert the very good Golden Cross into a Golden Star.
This signal is rare and, in most cases, gives substantial returns. From 8.000 stocks usually only a few will trigger a Golden Star Signal per day!