ASHR closes below its opening price unable to hold early session gains
Xtrackers Harvest CSI 300 China A-Shares (ASHR) Technical Analysis Report for Oct 16, 2020 | by Techniquant Editorial Team
ASHR ended the week 1.9% higher at 36.41 after gaining $0.20 (0.55%) today on high volume. Trading $0.07 higher after the open, the market was unable to hold its gains as the bears took control ending the day below its opening price. The last time this happened on September 8th, ASHR lost -0.38% on the following trading day.
Daily Candlestick Chart (ASHR as at Oct 16, 2020):
Friday's trading range has been $0.19 (0.52%), that's below the last trading month's daily average range of $0.27. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for ASHR.
Prices are trading close to the key technical resistance level at 36.61 (R1).
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying could speed up should prices move above the nearby swing high at 36.61 where further buy stops might get triggered. Selling could accelerate should prices move below the close-by swing low at 36.02 where further sell stops might get activated.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Bearish Intraday Reversal" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for Xtrackers Harvest. Out of 211 times, ASHR closed higher 54.98% 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 five trading days, showing a win rate of 55.45% with an average market move of 0.00%.