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What Western Gas Partners’ Technical Indicators Suggest

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Western Gas Partners’ moving averages

Western Gas Partners (WES) is trading at a significant discount to its short-term (50-day) and longer-term (200-day) moving averages due to recent weakness. The partnership was trading 7.6% below its 50-day SMA (simple moving average) and 14.2% below its 200-day SMA as of August 17, which may indicate a bearish sentiment towards WES stock. However, a recovery in crude oil prices and further improvement in drilling activity might push WES above its short-term moving average before its 3Q17 earnings release, prompting bullishness.

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Short interest in Western Gas Partners

Short interest in Western Gas Partners stood at 1.2 million shares as of August 17, 2017, and short interest in WES as a percentage of float was 1.3%. Western Gas’s current short interest is lower than its short interest of 1.5% last month, and its one-year and three-year averages of 1.6% and 2.3%, respectively, indicating a bullish sentiment towards Western Gas Partners.

Western Gas Partners’ relative strength index score

Western Gas Partners’ RSI (relative strength index) score was 30.1 as of August 17. The stock, which has been weak, is close to being oversold. An RSI value below 30 for a stock indicates that it has entered oversold territory, while an RSI value above 70 indicates that the stock is overbought. Extreme RSI scores for WES may result in a trend reversal.

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