Trading Snapshot: Ultimate Oscillator Over 60 on Shares of Grupo Supervielle S.A. (SUPV)

Checking the levels for Grupo Supervielle S.A. (SUPV), we have made a note that the UO level is currently over 60. With the UO reading over 60, traders may be alerted that the stock is potentially in the overbought region.

Individual investors have the tendency to migrate towards certain stock strategies that have been successful in the past. While following previous strategies may be profitable, investors have to be ready for sudden market changes. Most investors will rejoice when stocks in the portfolio catch a hot streak. On the opposite side, investors may become highly dejected when they experience a prolonged losing streak. Sometimes, previously successful strategies run their course and they no longer work. Investors may benefit greatly from being able to make adjustments when the market takes a turn for the worse. 

Checking in on some other technical levels, the 14-day RSI is currently at 45.62, the 7-day stands at 59.38, and the 3-day is sitting at 67.25. The RSI, or Relative Strength Index, is a commonly used technical momentum indicator that compares price movement over time. The RSI was created by J. Welles Wilder who was striving to measure whether or not a stock was overbought or oversold. The RSI may be useful for spotting abnormal price activity and volatility. The RSI oscillates on a scale from 0 to 100. The normal reading of a stock will fall in the range of 30 to 70. A reading over 70 would indicate that the stock is overbought, and possibly overvalued. A reading under 30 may indicate that the stock is oversold, and possibly undervalued.

When applying indicators for technical analysis, traders and investors might want to examine the ATR or Average True Range. The current 14-day ATR for Grupo Supervielle S.A. (SUPV) is currently sitting at 0.29. The ATR basically measures the volatility of a stock on a day-to-day basis. The average true range is typically based on 14 periods and may be calculated daily, weekly, monthly, or intraday. The ATR is not considered a directional indicator, but it may reflect the strength of a particular move.

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Grupo Supervielle S.A. (SUPV) currently has a 14-day Commodity Channel Index (CCI) of 104.80. Active investors may choose to use this technical indicator as a stock evaluation tool. Used as a coincident indicator, the CCI reading above +100 would reflect strong price action which may signal an uptrend. On the flip side, a reading below -100 may signal a downtrend reflecting weak price action. Using the CCI as a leading indicator, technical analysts may use a +100 reading as an overbought signal and a -100 reading as an oversold indicator, suggesting a trend reversal.

The Williams Percent Range or Williams %R is a technical indicator that was designed to measure overbought and oversold market conditions. The Williams %R indicator helps show the relative situation of the current price close to the period being observed. Grupo Supervielle S.A. (SUPV)’s Williams Percent Range or 14 day Williams %R presently is at -16.00. In general, if the reading goes above -20, the stock may be considered to be overbought. Alternately, if the indicator goes under -80, this may show the stock as being oversold.

Moving averages can help spot trends and price reversals. They may also be used to help find support or resistance levels. Moving averages are considered to be lagging indicators meaning that they confirm trends. A certain stock may be considered to be on an uptrend if trading above a moving average and the average is sloping upward. On the other side, a stock may be considered to be in a downtrend if trading below the moving average and sloping downward. Shares of Grupo Supervielle S.A. (SUPV) have a 7-day moving average of 3.06. Taking a glance at the relative strength indictor, we note that the 14-day RSI is currently at 45.62, the 7-day stands at 59.38, and the 3-day is sitting at 67.25.

Investing in the stock market has traditionally offered higher returns than other types of investments. With the higher potential for returns, there is also a higher risk factor. Investors typically need to address their own personal risk situation before jumping into the market. Figuring out risk appetite can help when choosing which types of stocks to buy. Some investors will decide that they want to take a chance on certain stocks that have the potential to outperform in the future. Other investors may opt to play it safe and build a portfolio with low risk, staple stocks. 

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