Technical Watch: CCI Indicator Reading in Focus for Signature Bank (SBNY) as it moves to Hold

Taking a quick look at the charts on shares of Signature Bank (SBNY), we see that the 60-day commodity channel index reading is Hold. The CCI indicator is generally used to identify overbought and oversold levels. The CCI signal direction is currently pointing to a Bullish. Moving to the mid-range indicator, we see that the reading from the 40-day commodity channel index is presently Hold. The signal direction is Bullish.

Successful traders and investors often learn how to develop disciplined strategies. Trading strategies can range from very simple to highly complex. Whatever the strategy choice, investors who stay the course may have a better chance of coming out a winner in the stock market. Traders may try to avoid getting trapped into a sour situation. Being able to stomach some losses along the way may not be easy, but it may help sustain profits in the long run. Making the best possible decision is typically what many investors attempt to accomplish. Often times, it may take some bad trades to get to the good ones. Combining the study of company fundamentals with technical stock charts may lead to increased overall knowledge about a particular name. Technical analysts will often be following price action tick by tick with the hopes of capitalizing on a defined trend. 

After a recent look, the stock’s first resistance level is 134.18. On the other side, investors are watching the first support level of 131.84. Investors may also want to take a longer-term look at company shares. According to the most recent information, the stock has a 52-week high of 137.93 and a 52-week low of 98.54. Staying on top of longer-term price action may help provide investors with a wider scope of reference when examining a stock. Investors are often closely following recent stock price support and resistance levels. The support is a level where a stock may see a bounce after it has dropped. If the stock price can break through the first support level, the attention may move to the second level of support. The resistance is the opposite of support. As a stock rises, it may see a retreat once it hits a certain level of resistance.

Tracking some alternate information, we have noted that the company’s current book value is 82.79. The book value is the per share value of a company based on its equity available to common shareholders for the trailing 12 months. Shifting gears, the company has a current interest coverage value of 6.58. This value measures a company’s ability to honor its debt payments. When the value is below 1, the company may not be generating enough cash from its operations to meet its interest obligations. Tracking current trading session activity on shares of (company), we can see that the stock price recently hit 132.97. Since the start of the session, the stock has managed to touch a high of 134.27 and drop to a low of 131.93.

Investors may be trying to figure out which chart patterns or technical indicators to use. This may take some time to figure out which strategy works for each individual. Back testing specific indicators can be a good way to personally evaluate a particular method. Many investors will opt to follow trading strategies of the professionals. This may work well for some but not others. Figuring out what works and what doesn’t should help the investor make better future decisions. Some investors will choose to go against the grain and develop a contrarian approach. Pulling out substantial profits in the markets may seem like a daunting task. Playing things safe may be the choice for one investor but not the next. Many people will choose to adhere to the old saying of nothing ventured nothing gained. This of course may vary from investor to investor depending on the amount of capital available.