Trading Notebook: Ultimate Oscillator Located Under 40 for Black Rock Mining Limited (BKT.AX)

Looking further at shares of Black Rock Mining Limited (BKT.AX), we have seen that the Ultimate Oscillator reading is currently below 40. Traders tracking this signal may be watching to see if the stock may possibly be heading into oversold territory. 

Individual investors might be digging a little deeper into the playbook in order to create a winning plan for the remainder of the calendar year. The diligent investor typically has a portfolio that is diversified and ready to encounter any unforeseen market action. Even after creating the well-planned portfolio with expected returns, nobody can be absolutely sure that those returns will be seen. Setting realistic expectations can help the investor from becoming discouraged if the original plan runs into a bit of a snag. Of course every investor would like to enter the stock market and see sizeable profits right off the bat. This may only be wishful thinking for investors who aren’t ready to put in the time and energy to make sure the overall strategy stays on track and the portfolio stays properly managed.

The 14-day ADX for Black Rock Mining Limited (BKT.AX) is currently 24.83. Many chart analysts believe that an ADX reading over 25 would suggest a strong trend. A reading under 20 would suggest no trend, and a reading from 20-25 would suggest that there is no clear trend signal. The ADX was created by J. Welles Wilder to help determine how strong a trend is. In general, a rising ADX line means that an existing trend is gaining strength. The opposite would be the case for a falling ADX line.

Black Rock Mining Limited (BKT.AX)’s Williams Percent Range or 14 day Williams %R is sitting at -50.00. Typically, if the value heads above -20, the stock may be considered to be overbought. On the flip side, if the indicator goes under -80, this may signal that the stock is oversold.

In terms of CCI levels, Black Rock Mining Limited (BKT.AX) currently has a 14-day Commodity Channel Index (CCI) of -14.14. Investors and traders may use this indicator to help spot price reversals, price extremes, and the strength of a trend. Many investors will use the CCI in conjunction with other indicators when evaluating a trade. The CCI may be used to spot if a stock is entering overbought (+100) and oversold (-100) territory.

Black Rock Mining Limited (BKT.AX) currently has a 50-day Moving Average of 0.04, the 200-day Moving Average is 0.04, and the 7-day is noted at 0.04. Following moving averages with different time frames may help offer a wide variety of stock information. A longer average like the 200-day may serve as a smoothing tool when striving to evaluate longer term trends. On the flip side, a shorter MA like the 50-day may help with identifying shorter term trading signals. Moving averages may also function well as a tool for determining support and resistance levels.

Tracking the RSI levels for Black Rock Mining Limited (BKT.AX), the 3-day RSI stands at 25.67, the 7-day sits at 45.67 and the 14-day (most common) is at 50.04. The RSI, or Relative Strength Index is a popular 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 period 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 help identify stock price reversals.

Investors may be trying to figure out how much risk they are able to handle with their current stock holdings. Taking on too much risk can put unnecessary weight on the shoulders of even the sturdiest investors. On the flip side, investors who play it too safe may be shaking their heads and wondering what might have been. Finding that delicate risk balance can turn out to be the difference between sinking and swimming in the equity markets. It is highly important for investors to understand exactly what risks they are taking when buying and selling stocks. Knowing these risks may help avoid disaster down the line. Once the risk is calculated, investors should have an easier go at narrowing in on finding the right stocks to add to the portfolio. Investors may be trying to figure out how much risk they are able to handle with their current stock holdings. Taking on too much risk can put unnecessary weight on the shoulders of even the sturdiest investors. On the flip side, investors who play it too safe may be shaking their heads and wondering what might have been. Finding that delicate risk balance can turn out to be the difference between sinking and swimming in the equity markets. It is highly important for investors to understand exactly what risks they are taking when buying and selling stocks. Knowing these risks may help avoid disaster down the line. Once the risk is calculated, investors should have an easier go at narrowing in on finding the right stocks to add to the portfolio.