Brickworks Investment Company Ltd (BKI.AX) AO Signal Trending Downward

Brickworks Investment Company Ltd (BKI.AX) shares are being watched closely by traders as the Awesome Oscillator signal is revealing a downward trend building over the past five bars, signaling that market momentum is building for the name.


Investors often have to figure out how aggressive they want to be when getting into the stock market. There are individuals who may have had some initial success based on random luck, but diving without preparation can leave investors on the short end of the stick in the long run. Investors may be tempted by the next hot stock that is being talked about around the water cooler. Investors might not realize how risky a certain stock may be, and they may find out that the over performer has already made the run. Doing all the homework may involve tracking technicals, fundamentals, current economic data, and earnings releases. Putting in the time to do the proper research may help the investor see profits down the road.

A favorite tool among technical stock analysts is the moving average. 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. Currently, the 200-day MA is sitting at 1.53 for Brickworks Investment Company Ltd (BKI.AX), and the 50-day is 1.61.


The 14-day ADX for Brickworks Investment Company Ltd (BKI.AX) is currently at 36.14. 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 35.85, the 7-day stands at 21.20, and the 3-day is sitting at 8.05. 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, Brickworks Investment Company Ltd (BKI.AX) has a 14-day Commodity Channel Index (CCI) of -115.28. 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. Brickworks Investment Company Ltd (BKI.AX)’s Williams %R presently stands at -100.00. 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.

Investors may be scouring the exchanges for the next breakout stock. With the next earnings season in focus, investors will be keeping their eyes open for names that have upside potential. Tracking earnings results can help the investor see how healthy the company is. Investors may choose to research companies that produce large earnings beats. Taking the time to fully research the fundamentals can help the investor start piecing together the puzzle. Although many investors may not feel comfortable making trades around earnings, they can prepare for the aftermath and set up a plan to proceed once the market settles.