Poised For a Breakout? Share Update on S&P 500 Aristocrats Proshares (NOBL)

The recent price of 67.92 for shares of S&P 500 Aristocrats Proshares (NOBL) has put the price level above the Balance Step, indicating a near-term bullish pattern developing.  Calculated from the last five balance points, the Balance Step indicator can help determine whether a bullish or bearish trend is developing near-term.

Investors may be wondering how to tackle the markets at current levels. Many investors may feel like they have missed out on the markets getting to where they are today. It may be a case of missed trades or being too cautious, but a stellar forward thinking strategy may be just what is needed to get back on track. Studying various sectors may help provide some insight on where to go from here. Investors may become very familiar and comfortable with a certain sector, and they may be completely missing out on opportunities from other fast growing sectors. Investors may also need to take a long-term approach which may include creating a diversified portfolio that takes many different factors into consideration. With the enormous amount of uncertainty that follows the global investing world on a daily basis, it may be helpful for investors to be able to keep their emotions in check. Studying the hard data may prove to be very useful when trying to separate truth from fiction in the equity markets.

Doing the necessary homework, investors have a wealth of information about publically traded stocks. Figuring out which ones are going to steadily outperform can be a tricky task. Many investors opt to follow what covering sell-side analysts think about certain stocks. Following analyst updates to estimates and targets may help gauge overall stock sentiment. However, solely following analyst views may not be enough to put the entire investing puzzle together. Technical traders may want to still keep tabs on the fundamentals, and vice-versa.  

Taking a look at some additional indicators, we can take a look at the share strength. In terms of Relative Strength Index for S&P 500 Aristocrats Proshares (NOBL), the 14-day reading is currently noted at 57.93, the 7-day is 52.59, and the 3-day is sitting at 30.68. The Relative Strength Index (RSI) is a very popular momentum indicator used for technical analysis. The RSI can help show whether the bulls or the bears are currently strongest in the market. The RSI may be used to help spot points of reversals more accurately. The RSI was developed by J. Welles Wilder. As a general rule, an RSI reading over 70 would signal overbought conditions. A reading under 30 would indicate oversold conditions.

In terms of CCI levels, S&P 500 Aristocrats Proshares (NOBL) currently has a 14-day Commodity Channel Index (CCI) of 46.24. Investors and traders may use this indicator to help spot price reversals, price extremes, and the strength of a trend. Many investors will use the CCI in conjunction with other indicators when evaluating a trade. The CCI may be used to spot if a stock is entering overbought (+100) and oversold (-100) territory. The 14-day ADX is presently 26.66. Many technical chart analysts believe that an ADX reading over 25 would suggest a strong trend. A level under 20 would indicate no trend, and a reading from 20-25 would suggest that there is no clear trend signal. The ADX is typically plotted along with two other directional movement indicator lines, the Plus Directional Indicator (+DI) and Minus Directional Indicator (-DI). Some analysts believe that the ADX is one of the best trend strength indicators available.

Investors may be studying other technical indicators like the Williams Percent Range or Williams %R. The Williams %R is a momentum indicator that helps measure oversold and overbought levels. This indicator compares the closing price of a stock in relation to the highs and lows over a certain time period. A common look back period is 14 days. S&P 500 Aristocrats Proshares (NOBL)’s Williams %R presently stands at -27.64. The Williams %R oscillates in a range from 0 to -100. A reading between 0 and -20 would indicate an overbought situation. A reading from -80 to -100 would indicate an oversold situation. Looking at some moving average levels, the 200-day is at 64.75, the 50-day is 66.31, and the 7-day is sitting at 68.29. Moving averages can help identify trends and price reversals. They may also be used to help spot support and 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.

Because there are so many stocks to choose from, it may not be feasible for investors to be able to research all of them. Investors may have many different preferred methods for screening stocks, and it can sometimes be easier to focus on a small number of stocks at first. There is no shortage of stock picking ideas that come from various outlets across the globe. Certain stocks tend to become household names simply because of the amount of coverage that they get from the media. There are many unglamorous stocks that might be a good fit for the portfolio. Taking the time to branch out into previously non-researched sectors may give the investor some new ideas for portfolio additions in the future.