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Turning the Needle? BHAGWATI OXYGEN LTD. (BHAGWOX.BO) Mass Index Rating in Focus

Shares of BHAGWATI OXYGEN LTD. (BHAGWOX.BO) are placed in the hotbed as the Mass Index reading has breached the key level of 27.  Developed by Donald Dorsey, the Mass Index uses the high-low range to identify trend reversals based on range expansions. In this sense, the Mass Index is a volatility indicator that does not have a directional bias. Instead, the Mass Index identifies range bulges that can foreshadow a reversal of the current trend.  The Mass Index highlights potential reversals in the form of “reversal bulges”, according to Donald Dorsey. These “reversal bulges” are characterized by the indicator’s move above the 27.00 level and then back below the 26.50 level (in order to confirm the move). 

Investing in the stock market will always involve some level of risk. Investors often have to determine how much they are willing to risk, and try to project what the potential reward could be. Taking on too much risk may put the average investor out of their comfort zone. Finding that sweet spot for risk appetite may help investors get on the correct path to conquering the markets. As companies continue to report quarterly earnings, investors will be watching which companies post larger than expected surprises. Analysts will also be watching the numbers closely in order to make sense of the results and update estimates accordingly.

Here we will take a look at the ADX reading on shares of BHAGWATI OXYGEN LTD. (BHAGWOX.BO). 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.

At the time of writing, the 14-day ADX is standing at 13.13. Many chart analysts believe that an ADX reading above twenty five would suggest a strong trend.
CCI Watch

Looking further at additional technical indicators we can see that the 14-day Commodity Channel Index (CCI) for BHAGWATI OXYGEN LTD. (BHAGWOX.BO) is sitting at 39.27. CCI is an indicator used in technical analysis that was designed by Donald Lambert. A CCI reading closer to +100 may indicate more buying (possibly overbought) and a reading closer to -100 may indicate more selling (possibly oversold).

Moving Averages – Price Reversal Indicators

Shares of BHAGWATI OXYGEN LTD. (BHAGWOX.BO) have a 7-day moving average of 19.36. Taking a look at the relative strength indictor, we note that the 14-day RSI is currently at 53.52, the 7-day stands at 57.98, and the 3-day is sitting at 70.54.

RSI Review

Taking a glance at the relative strength indictor, we note that the 14-day RSI is currently at 53.52, the 7-day stands at 57.98, and the 3-day is sitting at 70.54. 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.

RSI Key Metrics

Below 30 = Oversold Range
Above 70 = Overbought Range

Investors might be looking to rebuild the portfolio as we move into the second half of the year. New investors can be tempted to try to maximize returns by owning one specific sector or be exposed to a fairly large single investment. By diversifying the portfolio, investors might be able to protect themselves from a sudden move against the position. Finding the correct portfolio balance is how many investors choose to approach the markets. This may take some time to master, and there may be some bumps along the way. Investors managing their own money may want to make sure that they know exactly what stocks are in the portfolio at all times. Keeping tabs on portfolio performance can also be a good way to make sure that it is weighted properly.