EWH declines to lowest close since June 16th
iShares MSCI Hong Kong ETF (EWH) Technical Analysis Report for Jul 31, 2020 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, EWH ended the month -1.22% lower at 21.11 after losing $0.12 (-0.57%) today. Today's close at 21.11 marks the lowest recorded closing price since June 16th. Closing within the previous day's range, prices missed to decisively move beyond the prior day's trading range.
Daily Candlestick Chart (EWH as at Jul 31, 2020):
Friday's trading range has been $0.27 (1.28%), that's slightly below the last trading month's daily average range of $0.30. Weekly volatility is also lower, being way below the market's average weekly trading range. The longer-term, monthly volatility is currently higher than usual for EWH.
One bullish candlestick pattern matches today's price action, the Takuri Line.
Prices are trading close to the key technical resistance level at 21.30 (R1).
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Buying might accelerate should prices move above the nearby swing high at 21.32 where further buy stops could get activated.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the Technical Indicators based market condition "RSI(2) below 20" stand out. Its common bullish interpretation has been confirmed for EWH. Out of 252 times, EWH closed higher 51.19% 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 59.52% with an average market move of 0.49%.