| Kansas City Southern is a transportation holding company with domestic and international rail operations in North America. Co.'s subsidiary, The Kansas City Southern Railway Company, is a United States Class I railroad that serves a several region in the midwest and southeast regions of United States and has north/south rail route between Kansas City, MO and several main ports along the Gulf of Mexico in Alabama, Louisiana, Mississippi and Texas. Co.'s subsidiary, Kansas City Southern de Mexico, S.A. de C.V. operates a main commercial corridor of the Mexican railroad system and has as its main route a direct rail passageway between Mexico City and Laredo, TX. |
When researching a stock like Kansas City Southern, many investors are the most familiar with Fundamental Analysis — looking at a company's balance sheet, earnings, revenues, and what's happening in that company's underlying business. Investors who use Fundamental Analysis to identify good stocks to buy or sell can also benefit from KSU Technical Analysis to help find a good entry or exit point. Technical Analysis is blind to the fundamentals and looks only at the trading data for KSU stock — the real life supply and demand for the stock over time — and examines that data in different ways. One of those ways is to calculate a Simpe Moving Average ("SMA") by looking back a certain number of days. One of the most popular "longer look-backs" is the KSU 200 day moving average ("KSU 200 DMA"), while one of the most popular "shorter look-backs" is the KSU 50 day moving average ("KSU 50 DMA"). A chart showing both of these popular moving averages is shown on this page for Kansas City Southern. Comparing two moving averages against each other can be a useful visualization tool: by calculating the difference between the KSU 200 DMA and the KSU 50 DMA, we get a moving average convergence divergence indicator ("KSU MACD"). The KSU MACD chart, in conjunction with the chart of the moving averages, basically helps in visualizing how the moving averages are showing convergence (moving closer together), or divergence (moving farther apart).