HEATOIL closes above its opening price after recovering from early selling pressure
Heating Oil (HEATOIL) Technical Analysis Report for Jan 23, 2020 | by Techniquant Editorial Team
HEATOIL finished Thursday at 1.7959 edging higher $0.0026 (0.14%). Trading up to $0.0361 lower after the open, the contract managed to reverse during the session as bulls took control ending the day above its opening price. The last time this happened on January 17th, HEATOIL gained 0.47% on the following trading day. Closing within the previous day's range, prices failed to decisively move beyond the prior day's trading range.
Daily Candlestick Chart (HEATOIL as at Jan 23, 2020):
Thursday's trading range has been $0.0423 (2.36%), that's slightly below the last trading month's daily average range of $0.0472. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently strongly higher than usual for HEATOIL.
One bullish candlestick pattern matches today's price action, the Takuri Line.
While still in a long-term uptrend, the short and medium-term trends both turned bearish already.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Up Close near high of period" stand out. Although it is usually interpreted as bullish, it has actually shown to be bearish for Heating Oil. Out of 586 times, HEATOIL closed lower 52.73% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the short side has been after 10 trading days, showing a win rate of 47.78% with an average market move of 0.09%.
With three out of the other four Energy Markets closing lower today, the ones that stand out on the negative side are CRUDE losing -0.67% and GASOLINE closing -0.36% lower. On the flipside the best performer has been NATGAS closing 0.42% higher. Read more