Intercontinental Exchange, Inc. (ICE) has been having a set of eventful trading activity and it is clear from an examination of the charts that traders are now fully aware of the company’s key metrics. A deeper exploration of the setup is sure to yield a clearer picture of why ICE is trending in the way it is presently – let’s move right into that. The greatest test of commitment to sound trading strategies is the use of technical charts; it is therefore important to keep that in mind as we take a deep look at the current stock.
ICE’s present state of movement can best be assessed by looking at its current day’s high $60.59 and the corresponding low of $60.22. It is important to note that the current day’s high figures poorly when compared to the trailing 52-week high of $61.98 achieved by ICE on 03/17/17. The corresponding low also paints a picture and suggests that the low is nothing but a 25.28% since 06/27/16. From a trading perspective, this is a good sign for anyone keen on making big gains from the stock’s prevailing upside potential. Of course the current trading setup is getting a lot of attention from analysts. Most have laid bare their sentiments on the stock as you can see from the following: The target price for ICE is $65.68; this target is below the most recent high recorded for the stock. There’s also the current beta of 0.73. As you might already know, beta is an excellent source of trading sentiment and given that the existing beta for ICE is less than 1, traders and investors will no doubt read that ICE is theoretically less volatile than current market dynamic. These data points are key areas savvy traders will be monitoring.
No monitoring can ever be called comprehensive, thorough, or water-tight unless the outlined technicals get support. This support can be pulled from the more salient technical data points and should be used whenever possible. Technical indicators don’t get more indicative than the measures called Relative strength indicator (RSI) and Stochastic. The numbers for ICE, based on these two very powerful indicators, are indeed very telling. Let’s see what they say in greater detail. The current reading for ICE, where the 14-day RSI is concerned, is 55.99%. This means, based on the reading, that ICE is neutral, suggesting that the stock is relatively stable in terms of upward or upward price movement. The stochastic reading is also gives consistent interpretations. In relation to ICE, there is a stochastic reading of 76.65%. This means, based on the stochastic data, that ICE is overbought at current levels.
ICE composite picture doesn’t end with either the RSI or the Stochastic, however; there are also compelling readings being presented by the stock’s 50 and 200 SMAs. ICE, on account of current trends displayed on its moving averages, appear in all ways and from all angle of analysis, to be bullish. Traders and investors have naturally seized upon this current positioning of the stock and general sentiment appears to be positive.
We’ll now round out the technical interpretation of the stock’s upside by drawing upon the help of a few other helpful technical chart elements. These are necessary to provide maximum confidence on any trading decision. ICE’s -0.55 has now manifested a clearer vein of trading and investing sentiment. When analyzed closely, this sentiment appears to be largely negative assessed over the trailing 30 days of data. ICE isn’t standing still by any means and the stock has underperformed the S&P 500 by -2.34. The consequences of this performance have been stark; the stock is now trading on lower volatility levels when compared to matched against companies operating in the same sector. Historical volatility is also showing why ICE is on the radar of a lot of traders. This reading for historical volatility is 12.92%. ICE is also pointing to strong readings on the Average True Range – a very important technical touch point that shouldn’t be ignored. That ATR reading is 1.23. ICE’s profile as a current trending stock is not in doubt, and the technical outline made above speaks to the road the stock has taken to be where it is today.