EWP ends the day indecisive
iShares MSCI Spain Capped ETF (EWP) Technical Analysis Report for Feb 14, 2020 | by Techniquant Editorial Team
EWP ended the week 1.07% higher at 29.18 after gaining $0.15 (0.52%) today ahead of tomorrow's Presidents' Day market holiday. Ending the day with an indecisive close, neither buyers nor sellers were able to gain control during the session.
Daily Candlestick Chart (EWP as at Feb 14, 2020):
Friday's trading range has been $0.12 (0.41%), that's below the last trading month's daily average range of $0.18. 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 EWP.
Two candlestick patterns are matching today's price action, the Northern Doji which is known as bearish pattern and one neutral pattern, the Doji. The last time a Doji showed up on January 27th, EWP gained 1.19% on the following trading day.
Prices are trading close to the key technical support level at 29.01 (S1). Prices are trading close to the key technical resistance level at 29.28 (R1).
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying could accelerate should prices move above the close-by swing high at 29.28 where further buy stops might get triggered. With prices trading close to this year's high at 29.32, upside momentum could speed up should the market be able to break out to new highs for the year. Trading close to December's high at 29.57 we might see further upside momentum if potential buy stops at the level get activated.
Among the three market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Close to Swing High" stand out. Although it is usually interpreted as neutral, it has actually shown to be bullish for EWP. Out of 750 times, EWP closed higher 50.80% of the time on the next trading day after the market condition occurred.