UNIMECH GROUP BERHAD (7091.KL)’s Rank Correlation Trending Higher

Shares of UNIMECH GROUP BERHAD (7091.KL) are nearing some key technical levels as the Rank Correlation indicator has trending higher over the past few sessions, nearing potential overbought territory.  Crossing the 80 mark would suggest that a chance of a reversal is increasing. 

The Rank Correlation Index (RCI) is based on an analysis algorithm by Charles Spearman. It uses a combination of price change data and time change data to identify potential changes in market sentiment, thereby exposing turning points.  Zero crossings are seen as buy and sell signals, with tops and bottoms yielding overbought and oversold information. 

Investors might be considering to sharpen the gaze and focus on recent market action. As we move into the second part of the year, everyone will be watching to see which way the share market momentum shifts. Many believe that the bulls are still charging while others feel like the bears may be waiting in the wings. There are various schools of thought when it comes to trading stocks. Investors may have to first asses their appetite for uncertainty in order to start creating a solid investment plan. 

Investors also might be considering to track the ATR or Average True Range of the stock. Currently, UNIMECH GROUP BERHAD (7091.KL) has a 14-day ATR of 0.02. The Average True Range is an investor gizmo used to calculate stock volatility. The ATR is not used to determine price direction, just to calculate volatility. The ATR is an indicator developed by J. Welles Wilder. Wilder has developed multiple indicators that are still quite trendy in today’s investing landscape. The general interpretation of the ATR is the higher the ATR value, the higher the volatility.

The Williams Percent Range or Williams %R is another technical indicator worth checking out. UNIMECH GROUP BERHAD (7091.KL) currently has a 14 day Williams %R of 0.00. 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.

The Average Directional Index or ADX is technical analysis indicator used to discern if a market is trending or not trending. The ADX alone measures trend strength but not direction. Using the ADX with the Plus Directional Indicator (+DI) and Minus Directional Indicator (-DI) may assist determine the direction of the trend as well as the overall momentum. Many traders will use the ADX alongside other indicators in order to assist spot proper trading entry/exit points. Currently, the 14-day ADX for UNIMECH GROUP BERHAD (7091.KL) is 15.20. Generally speaking, 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.

Traders may be leaning on technical stock analysis to assist with investing decisions. UNIMECH GROUP BERHAD (7091.KL) currently has a 14-day Commodity Channel Index (CCI) of 175.92. Despite the name, CCI can be used on other investment tools such as stocks. The CCI was designed to typically remain within the reading of -100 to +100. Traders may use the indicator to determine stock trends or to identify overbought/oversold conditions. A CCI reading above +100 would imply that the stock is overbought and possibly ready for a correction. On the other hand, a reading of -100 would imply that the stock is oversold and possibly set for a rally.

Traders are paying renewed attention to shares of UNIMECH GROUP BERHAD (7091.KL). The current 14-day RSI is right now sitting at 64.02, the 7-day is 76.02, and the 3-day is 94.10. The RSI, or Relative Strength Index is a trendy oscillating indicator among traders and investors. The RSI operates in a range-bound area with values between 0 and 100. When the RSI line moves up, the stock may be experiencing strength. The opposite is the case when the RSI line is heading lower. Different time periods may be used when using the RSI indicator. The RSI may be more volatile using a shorter course of time. Many traders keep an eye on the 30 and 70 marks on the RSI scale. A move above 70 is widely considered to show the stock as overbought, and a move below 30 would indicate that the stock may be oversold. Traders may use these levels to assist identify stock price reversals.

Some share market investors may abide to the saying, nothing ventured nothing gained. Others may operate by following the saying slow and steady wins the race. The correct move for one investor may not be the same for another. Some may select to go all in, while others may look to reduce uncertainty with stable long-term staple companies. Active equity investors may be forced to make uncomfortable decisions at some point, but working uncomfortable and being prepared may prove to be a portfolio booster. Dedicated investors are often willing to put in the special hours in order to make sure no stone is left unturned.

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