ASHR surges, gaining $0.78 (2.57%) within a single day
Xtrackers Harvest CSI 300 China A-Shares (ASHR) Technical Analysis Report for Jul 02, 2020 | by Techniquant Editorial Team
Moving higher for the 4th day in a row, ASHR finished Thursday at 31.14 surging $0.78 (2.57%) ahead of tomorrow's Independence Day OBS market holiday. This is the biggest single-day gain in over a month. Today's close at 31.14 marks the highest recorded closing price since April 12, 2018. Trading up to $0.09 lower after the open, Xtrackers Harvest managed to reverse during the session as bulls took control ending the day above its opening price. The last time this happened on Tuesday, ASHR gained 2.19% on the following trading day. Ending the day with an indecisive close, neither buyers nor sellers were able to gain control during the session.
Daily Candlestick Chart (ASHR as at Jul 02, 2020):
Thursday's trading range has been $0.18 (0.58%), that's below the last trading month's daily average range of $0.25. Things look different on the weekly timeframe, where the market's trading range of the last week has been way above the market's average weekly trading range. The longer-term, monthly volatility is currently higher than usual for ASHR.
One bullish candlestick pattern matches today's price action, the Bullish Spinning Top.
With another close above the upper Bollinger Band, prices are confirming their strong upward momentum in the short-term. A drop back into the Bollinger Band on the next trading day though could signal a potential change in momentum that might lead to a correction back down towards the center of the Bollinger Bands at 29.06.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "52 Week High" stand out. Its common bullish interpretation has been confirmed for Xtrackers Harvest. Out of 85 times, ASHR closed higher 55.29% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the long side has been after 10 trading days, showing a win rate of 68.24% with an average market move of 1.81%.