Rice Midstream Partners LP (RMP) Bollinger Band Signal a Hold With $18.55 First Support Level

Traders have been closely following shares of Rice Midstream Partners LP (RMP) recently. Focusing on moving averages, the 50-day is 17.88, the 200-day is at 19.82, and the 7-day is 18.56. Using the moving average for technical stock analysis is still quite popular among traders and investors. The moving average can be used as a reference point to help spot buying and selling opportunities. Using a longer term moving average such as the 200-day may help squash the noise and chaos that is sometimes created by daily price fluctuations. In some cases, MA’s may be used as strong reference points for figuring out support and resistance levels.

Rice Midstream Partners LP (RMP) is also popping up on investor’s watch boards as the ‘Trendspotter Opinion’ rating has reached “Buy” with first resistance at 18.97 and second resistance at 19.12.  On the other end, investors are watching the first support level of 18.55, and the second support level of 18.28. The trendspotter strength signal is currently Average. This signal is compared to the historical performance where maximum would be considered the strongest, and minimum would be touted as the weakest. In terms of direction, the trendspotter signal is currently Strongest. This signal may indicate if the Buy or Sell is weakening or gaining strength, or if the Hold is leaning towards a Buy or Sell.

Shifting gears, we’ll look at what some of the short term technical indicators are reading for shares of Rice Midstream Partners LP (RMP).  The signal from the 20-day moving average is revealing a “Buy”.  The 20-50 day MACD Oscillator, which can be used to identify bullish or bearish directional movement is currently showing a “Sell” signal. 

Rice Midstream Partners LP (RMP)’s Williams Percent Range or 14 day Williams %R currently sits at -8.33. The Williams %R oscillates in a range from 0 to -100. A reading between 0 and -20 would point to an overbought situation. A reading from -80 to -100 would signal an oversold situation. The Williams %R was developed by Larry Williams. This is a momentum indicator that is the inverse of the Fast Stochastic Oscillator.

Rice Midstream Partners LP (RMP) currently has a 14-day Commodity Channel Index (CCI) of 99.1. 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.

Currently, the 14-day ADX for Rice Midstream Partners LP (RMP) is sitting at 23.47. Generally speaking, an ADX value from 0-25 would indicate an absent or weak trend. A value of 25-50 would support a strong trend. A value of 50-75 would identify a very strong trend, and a value of 75-100 would lead to an extremely strong trend. ADX is used to gauge trend strength but not trend direction. Traders often add the Plus Directional Indicator (+DI) and Minus Directional Indicator (-DI) to identify the direction of a trend.

The RSI, or Relative Strength Index, is a widely 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. After a recent check, the 14-day RSI is currently at 60.9, the 7-day stands at 67.58, and the 3-day is sitting at 78.29.

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