Traders may be keeping a close eye on ATR indicators. The current 14-day ATR for Royal Caribbean Cruises Ltd. (RCL) is currently sitting at 2.38. The ATR 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.
Checking in on some other technical levels, the 14-day RSI is currently at 43.44, the 7-day stands at 46.74, and the 3-day is sitting at 51.7. 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.
Another technical indicator that may be a powerful resource for determining 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 Royal Caribbean Cruises Ltd. (RCL) is noted at 25.37. 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.
The Williams Percent Range or Williams %R is another technical indicator worth taking a look at. Royal Caribbean Cruises Ltd. (RCL) currently has a 14 day Williams %R of -70.27. The Williams %R fluctuates between 0 and -100 measuring whether a security is overbought or oversold. The Williams %R is similar to the Stochastic Oscillator except it is plotted upside-down. Levels above -20 may indicate the stock may be considered is overbought. If the indicator travels under -80, this may signal that the stock is oversold. Chart analysts may also use the indicator to project possible price reversals and to define trends.
Changing lanes, we’ll look at what some of the short term technical indicators are reading for shares of Royal Caribbean Cruises Ltd. (RCL). The signal from the 20-day moving average is revealing a “Sell”. The 20-50 day MACD Oscillator, which can be used to identify bullish or bearish directional movement is currently showing a “Sell” signal.
In continuing to identify a general trend, we note that Royal Caribbean Cruises Ltd. (RCL) currently shows a Sell, according to the Trendspotter signal. Trendspotter signal is determined by combining momentum, volatility and a bit of wave theory to assist in identifying a directional trend of a stock. Royal Caribbean Cruises Ltd.’s 20-day Bollinger is showing a “Hold” and the 20-Day MA signals a “Sell”. Trendspotter 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 Weakest. 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.
Royal Caribbean Cruises Ltd. (RCL) currently has a 14-day Commodity Channel Index (CCI) of -102.94. 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.