What Do PPL’s Chart Indicators and Short Interest Suggest?

Why PPL Stock Looks Attractive Compared to Its Peers (Continued from Prior Part) ## Chart indicators The recent weakness in PPL (PPL) stock has pushed it below both of its major support levels, which might bother investors. Currently, PPL is trading at $28.0, which is almost 7% and 4% below its 50-day and 200-day moving average levels, respectively. The levels close to $30.2 and $29.1 will likely act as a resistance in the short term. PPL’s current RSI (relative strength index) is at 33, which indicates that it isn’t “overbought” or “oversold.” ## Short interest The short interest in PPL stock decreased 6% on December 14. On November 30, the shorted shares in PPL were 44.9 million. PPL’s total shorted shares decreased to 42.3 million on December 14. A fall in PPL’s short interest could indicate that fewer investors expect the stock to fall from its current price levels. The short interest indicates the number of a company’s shares that have been sold short and not squared off yet. ## Bollinger Bands PPL stock is trading 4% above its lower Bollinger Band level. PPL’s 20-day moving average level is at $29.3, while its upper Bollinger Band is at $31.8. When a stock’s price falls to the lower level of the Bollinger Band and trades near its support level, technical analysts see it as an entry point. When the stock’s price reaches the upper level of the Bollinger Band and trades near its resistance level, analysts might see it as an exit point. We have used the 20-day simple moving average levels to calculate the Bollinger Bands. Continue to Next Part Browse this series on Market Realist: * Part 1 - PPL Stock Looks Attractive Compared to Its Peers * Part 3 - What PPL’s Implied Volatility Trends Indicate * Part 4 - PPL Stock: Analysts’ Recommendations