Some traders provided feedback to ask for more examples on performing Technical Analysis on stocks on the MQ Trader system. So today we will pick the stock SENDAI for illustration purpose.

Users who have signed up for any package (Free Trial or Sponsored package) of the MQ Trader system can select the stock from the side bar on the left, or type in the stock code SENDAI in the search box.

The first page you'll see is the large stock chart with Bollinger band drawn on top of the Candlestick price chart.

Traders can also select other common Technical Indicators to show on the price chart by click on the green Indicators button at the button bar just above the candlestick chart. SMA and EMA lines will be drawn in the same area as the price chart, while the indicators (e.g. RSI, MACD, ADX) will be drawn in the area below the price chart.

Next, traders may like to perform a quick Technical on the stock. Just click on the Stock name or the 3-line "hamburger bar" to the left of the stock name to pull out the option menu for this stock. The Run Technical Analysis function will be presented in the menu, as per the image below. Alternatively, traders can also click on the "TA" button in the toolbar which will go directly to the Technical Analysis function for this stock.

Technical Analysis

SENDAI scores an overall Technical Rating of just 1.1 over 5 as at 19-Sep-2017. It has 0 Bullish ratings, 5 Bearish ratings and 2 Neutral ratings. This is rather poor, and is certainly reflected by the latest price moment of this stock where a price correction is observed since July this year.

The technical ratings are calculated on fly for the most recent stock price with only 15 minutes delayed from the live stock price.

Below is the screen capture of the Technical Analysis page. Traders can click on the (i) icon beside the name of each rating to read about how is each rating calculated. Traders can also click on the "View Chart" link to see the indicators 

Based on the Technical Rating above, this is definitely a stock to avoid. Certain traders may argue that there may be a chance for "Bottom-Fishing" on this stock since the price has been depressed for so long. A bottom-fishing investor speculates that the stock's depressed price is temporary, will recover and make for a profitable investment. However, traders are advised to be careful as bottom fishing is a risky strategy because the company's stock price is depressed for a reason and may not bounce back.

Conclusion

Disclaimer