ProShares Short High Yield (SJB) presently has a 14-day Commodity Channel Index (CCI) of -104.12. Although the indicator uses the term commodity, CCI can be translated to use on other investment tools such as stocks. The interesting fact is that like MACD, MACD-Histogram also fluctuates above and below the zero line.
Moving average indicators are commonly tracked by technical stock analysts. Moving averages are considered to be lagging indicators that simply take the average price of a stock over a specific period of time. SG Americas Securities LLC now owns 484,299 shares of the exchange traded fund’s stock valued at $4,717,000 after purchasing an additional 32,401 shares during the period.
Over the course of the day 132 shares traded hands, as compared to an average volume of 35,180 over the last 30 days for ProShares Ultra MidCap400 (NYSEARCA:MVV). After a recent check, the 14-day RSI is now at 46.27, the 7-day stands at 42.03, and the 3-day is sitting at 22.77.
The Relative Strength Index (RSI) is a highly popular technical indicator. The RSI was created by J. Welles Wilder who was striving to measure whether or not a stock was overbought or oversold. Different time periods may be used when using the RSI indicator. Values can range from 0 to -100. Williams %R is a popular technical indicator created by Larry Williams to help identify overbought and oversold situations. Generally, the RSI is considered to be oversold when it falls below 30 and overbought when it heads above 70. A level of 50 would indicate neutral market momentum. At the time of writing, the 14-day ADX for ProShares UltraShort Oil & Gas (DUG) is 23.32. Alternately, if the indicator goes under -80, this may show the stock as being oversold.
Let’s take a further look at the Average Directional Index or ADX. One of the more popular combinations is to use the 50-day and 200-day moving averages. Some analysts believe that the ADX is one of the best trend strength indicators available. The firm has a 50-day moving average price of $31.82 and a 200-day moving average price of $51.92. Values can range from 0 to -100. The indicator is non-directional meaning that it gauges trend strength whether the stock price is trending higher or lower. ProShares UltraShort SmallCap600 (SDD)’s Williams Percent Range or 14 day Williams %R now sits at -100.00. 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. A value between 0 to -20 would represent a strong overbought condition. A reading under 20 would suggest no trend, and a reading from 20-25 would suggest that there is no clear trend signal. When the quarterly earnings report is released, investors watch closely to see if the company is performing up to expectations. The goal is typically to discover stocks that are most likely to outperform in the future. Being prepared can help the investor make quick, tough decisions when the time comes. It can also become very time-consuming to keep up with shorter-term trends and events. On the other end, it may be necessary to craft a new strategy if the old system isn’t providing the types of expected returns. Managing the short-term plan with the long-term plan can be hard given the existing economic climate.