There are a countless number of metrics and chart indicators that technical analysts use to determine buy and sell signals in the stock market. One of the more popular tools available is Bollinger Bands.
Bollinger Bands were developed by famous trader John Bollinger. Bollinger bands consist of a dotted simple moving average (typically a 20-day average) and then a solid upper and lower boundary line plotted two standard deviations above and below the dotted line.
Technicians use a number of different Bollinger trading techniques, but here are three stocks that recently broke above their upper Bollinger boundary, a bullish short-term signal.
1. FXCM Inc FXCM 0.3%
FXCM has had some major momentum since mid-December, and its push this week has it trading above its upper Bollinger Band. FXCM could soon be headed for a re-test of its post-crash high of $27.90 back in March.
2. SUPERVALU INC. SVU 1.89%
SUPERVALU shareholders are…
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