Dermira Inc Cm ST (DERM) Aroon Oscillator Suggesting Negative Momentum

Dermira Inc Cm ST (DERM)’s Aroon Oscillator is showing an increased downward trend for the shares.  Traders should take close watch on current levels and monitor the strength of the trend.  As a forecasting tool, many traders value time as much as they value price. The Aroon indicator differs from other price momentum oscillators because it exploits both of these market attributes. Aroon-based indicators do this by measuring price changes relative to time. Developed by Tushar Chande, indicates if a price is trending or is in a trading range. It can also reveal the beginning of a new trend, its strength and can help anticipate changes from trading ranges to trends. AroonDown and the AroonUp indicators are used together and combined are called the Aroon indicator.  Time and price favor an uptrend when the indicator is positive and a downtrend when the indicator is negative. A positive or negative threshold can be used to define the strength of the trend. For example, a surge above +50 would reflect a strong upside move, while a plunge below -50 would indicate a strong downside move.

Investors may be looking to compare the current stock price of Dermira Inc Cm ST (DERM) to some of its moving averages. After a recent check, the 200-day MA is resting at 21.21, and the 50-day is 9.01. Moving averages are considered to be lagging indicators that simply take the average price of a stock over a specific period of time. Moving averages can be very useful for identifying peaks and troughs. They may also be used to help the trader figure out proper support and resistance levels for the stock.

The 14-day ADX for Dermira Inc Cm ST (DERM) is currently at 23.13. In general, and ADX value from 0-25 would represent an absent or weak trend. A value of 25-50 would support a strong trend. A value of 50-75 would signify a very strong trend, and a value of 75-100 would point to an extremely strong trend. Checking in on some other technical levels, the 14-day RSI is currently at 39.6, the 7-day stands at 33.53, and the 3-day is sitting at 31.34. The Relative Strength Index (RSI) is a momentum oscillator that measures the speed and change of stock price movements. The RSI was developed by J. Welles Wilder, and it oscillates between 0 and 100. Generally, the RSI is considered to be oversold when it falls below 30 and overbought when it heads above 70. RSI can be used to detect general trends as well as finding divergences and failure swings.

At the time of writing, Dermira Inc Cm ST (DERM) has a 14-day Commodity Channel Index (CCI) of -166.92. Developed by Donald Lambert, the CCI is a versatile tool that may be used to help spot an emerging trend or provide warning of extreme conditions. CCI generally measures the current price relative to the average price level over a specific time period. CCI is relatively high when prices are much higher than average, and relatively low when prices are much lower than the average. Investors may be watching other technical indicators such as the Williams Percent Range or Williams %R. The Williams %R is a momentum indicator that helps measure oversold and overbought levels. This indicator compares the closing price of a stock in relation to the highs and lows over a certain time period. A common look back period is 14 days. Dermira Inc Cm ST (DERM)’s Williams %R presently stands at -82.25. The Williams %R oscillates in a range from 0 to -100. A reading between 0 and -20 would indicate an overbought situation. A reading from -80 to -100 would indicate an oversold situation.