Verizon’s Technical Indicators: A Peer Comparison

Traders and investors analyze technical indicators when making market entry and exit decisions. Moving averages and the RSI (relative strength index) are among the most widely used technical indicators.

Generally, an RSI of below 30 signifies that a stock has been oversold, while an RSI of above 70 indicates that a stock has been overbought. In this final part of our series, we’ll look at Verizon Communications’ (VZ) technical indicators and compare them with those of other telecom companies.

On February 2, 2017, Verizon was trading 5.3% below its 100-day moving average. By comparison, AT&T (T) was trading about 3.0% above its 100-day moving average, while T-Mobile (TMUS) was trading 15.4% above its average. Sprint (S) was trading 6.6% above its 100-day moving average.

Verizon now has a 14-day RSI reading of 17, which has led traders to believe that the stock is oversold. By comparison, AT&T and Sprint have 14-day RSI readings of 52, while T-Mobile has a 14-day RSI reading of 64.