Oshkosh Truck Corp (OSK) has popped on trader’s radar as the share momentum has climbed above the Aroon Up key level of 70.
The “Aroon Indicator” is a popular member of the “Oscillator” family of technical indicators. Tushar Chanda developed the Aroon Indicator in 1995 to help traders determine the strength of a trend and whether pricing behavior was favoring a trend or sideways action. Traders use the “Up and Down” indicator lines to judge the strength of a trend, as absolute values signify strength, but simultaneous changes reflect a market that has yet to make up its mind. The Aroon Up trend when it reaches above 70 indicates that the uptrend is gaining momentum.
As the next company earnings season comes into focus, investors may be closely following the numbers as they are released. Some investors will choose to stay away from any big trades during earnings season. Others will opt to try to capitalize on stock price fluctuations that may occur before and after the earnings report. Wall Street analysts may be getting ready to make estimate revisions over the next couple of weeks. Investors have the ability to follow analyst estimates and recommendations when undertaking stock analysis. Investors may choose to review analyst projections and then make their own decisions on what they think the company will report for the quarter.
Traders also may be narrowing in on the ATR or Average True Range indicator when reviewing technicals. At the time of writing, Oshkosh Truck Corp (OSK) has a 14-day ATR of 1.76. The average true range indicator was created by J. Welles Wilder in order to measure volatility. The ATR may assist traders with figuring out the strength of a breakout or reversal in price. It is important to note that the ATR was not designed to determine price direction or to predict future prices.
Some investors may find the Williams Percent Range or Williams %R as a helpful technical indicator. Presently, Oshkosh Truck Corp (OSK)’s Williams Percent Range or 14 day Williams %R is resting at -3.24. Values can range from 0 to -100. A reading between -80 to -100 may be typically viewed as strong oversold territory. A value between 0 to -20 would represent a strong overbought condition. As a momentum indicator, the Williams R% may be used with other technicals to help define a specific trend.
Investors may use multiple technical indicators to help spot trends and buy/sell signals. Presently, Oshkosh Truck Corp (OSK) has a 14-day Commodity Channel Index (CCI) of 238.44. The CCI was developed by Donald Lambert. The assumption behind the indicator is that investment instruments move in cycles with highs and lows coming at certain periodic intervals. The original guidelines focused on creating buy/sell signals when the reading moved above +100 or below -100. Traders may also use the reading to identify overbought/oversold conditions.
The Average Directional Index or ADX is a popular technical indicator designed to help measure trend strength. Many traders will use the ADX in combination with other indicators in order to help formulate trading strategies. Presently, the 14-day ADX for Oshkosh Truck Corp (OSK) is 31.31. In general, 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. The ADX alone was designed to measure trend strength. When combined with the Plus Directional Indicator (+DI) and Minus Directional Indicator (-DI), it can help decipher the trend direction as well.
Often times, investors are faced with challenging portfolio decisions. Maybe there are a few stocks that have outperformed expectations by a large margin. Investors may be hesitant to exit a position with the fear that the stock may have much more room to run. Investors may have to decide if the time is right to cash in and take some profits, or hold out for further gains. On the other end, investors may have a few duds in the portfolio. Cutting ties with certain underperformers can be a tough decision. It may be hard for an investor to sell a position that they thought for sure was going to pan out and provide gains. Being able to detach from a certain position may help ease the possibility of even more frustration later down the line if the stock doesn’t bounce back.
Taking a peek at some Moving Averages, the 200-day is at 72.72, the 50-day is 79.09, and the 7-day is sitting at 83.73. The moving average is a popular tool among 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. Moving averages can be very useful for identifying peaks and troughs. They may also be used to help the trader figure out proper support and resistance levels for the stock.