Tsingtao Brewery Co. Ltd (0168.HK) have moved lower over the course of the past few months revealing negative downward momentum for the shares as they have dipped -6.41 over the past 13 weeks. In taking a look at more recent performance, we can see that shares have moved 10.71% over the past week, 10.34% over the past 4-weeks, -19.33% over the past half year and -16.93% over the past full year.
Active investors are constantly faced with tough decisions when managing their own stock portfolios. Deciding when to sell a certain stock may be just as vital as choosing which stocks to buy in the first place. There are bound to be extremes on both sides when analyzing buy and sell decisions. Maybe a well researched stock hasn’t seen the gains that were expected at the outset. When emotions take over, the investor may not be able to part with the stock. They may hold on to the equity with the hopes that someday it will bounce back. Of course this may happen eventually, but the situation could also worsen and the stock may keep losing. The same decisions sometimes have to be made when dealing with a winning stock. After a big run, the investor may have to decide whether to take the profits or hold off to see if the stock will continue to push upwards. These are no easy decisions for the individual investor. Being able to make the proper portfolio moves may take some time to master, but it may end up being highly important for continued, long-term success.
A technical indicator to check out is the Williams Percent Range or Williams %R. Currently, Tsingtao Brewery Co. Ltd (0168.HK)’s Williams Percent Range or 14 day Williams %R is calculated at -5.26. The Williams %R can be an effective momentum indicator to help measure overbought/oversold levels. Being a bound oscillator, levels will range from 0 to -100. Typically, if the value moves above -20, the stock may be considered to be overbought. On the other end, if the indicator heads under -80, this might signal that the stock is oversold.
Another technical indicator that might serve as a powerful resource for measuring trend strength is the Average Directional Index or ADX. The ADX was introduced by J. Welles Wilder in the late 1970’s and it has stood the test of time. 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. At the time of writing, the 14-day ADX for Tsingtao Brewery Co. Ltd (0168.HK) is noted at 14.42. Many technical analysts believe that an ADX value over 25 would suggest a strong trend. A reading under 20 would indicate no trend, and a reading from 20-25 would suggest that there is no clear trend signal.
Investors may use various technical indicators to help spot trends and buy/sell signals. Presently, Tsingtao Brewery Co. Ltd (0168.HK) has a 14-day Commodity Channel Index (CCI) of 112.24. 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.
Taking a look at other technical levels, the 3-day RSI stands at 90.94, the 7-day sits at 70.32 and the 14-day (most common) is at 60.28. The Relative Strength Index (RSI) is an often employed momentum oscillator that is used to measure the speed and change of stock price movements. When charted, the RSI can serve as a visual means to monitor historical and current strength or weakness in a certain market. This measurement is based on closing prices over a specific period of time. As a momentum oscillator, the RSI operates in a set range. This range falls on a scale between 0 and 100. If the RSI is closer to 100, this may indicate a period of stronger momentum. On the flip side, an RSI near 0 may signal weaker momentum. The RSI was originally created by J. Welles Wilder which was introduced in his 1978 book “New Concepts in Technical Trading Systems”.
Keeping an eye on Moving Averages, the 50-day is 31.92, the 200-day is at 38.62, and the 7-day is 31.91 for Tsingtao Brewery Co. Ltd (0168.HK). Moving averages have the ability to be used as a powerful indicator for technical stock analysis. Following multiple time frames using moving averages can help investors figure out where the stock has been and help determine where it may be possibly going. The simple moving average is a mathematical calculation that takes the average price (mean) for a given amount of time.
It is no secret that most investors have the best of intentions when diving into the equity markets. Making sound, informed decisions can help the investor make the most progress when dealing with the markets. Often times, investors may think they have everything in order, but they still come out on the losing end. Investors may need to figure out ways to keep emotion out of stock picking. Sometimes trading on emotions can lead to poor results. Making hasty decisions and not paying attention to the correct data can lead to poor performing portfolios in the long-term.