How Are AT&T’s Technicals Stacking Up?

When making market entry and exit decisions, investors and traders evaluate technical indicators. The most commonly used technical indicators include RSI (relative strength index) and moving averages. Traditionally, a 14-day RSI level of below 30 signifies an oversold asset, whereas a 14-day RSI level of above 70 signifies an overbought asset.

In this part of our series, we’ll examine the technical indicators of AT&T (T) and compare them with those of other telecommunication companies.

On July 17, 2017, AT&T was trading 9.0% below its 100-day moving average. By comparison, Verizon Communications (VZ) was trading around 7.1% below its 100-day moving average, while T-Mobile (TMUS) was trading 4.1% below its average. Sprint (S) was trading 4.9% above its 100-day moving average.

Verizon, T-Mobile, and AT&T currently have 14-day RSI readings of 28, 39, and 28, respectively, which has led investors and traders to believe that these stocks are oversold. Meanwhile, Sprint has a 14-day RSI reading of 61.