EWQ ends the day indecisive
iShares MSCI France ETF (EWQ) Technical Analysis Report for Jul 27, 2020 | by Techniquant Editorial Team
EWQ finished Monday at 28.77 gaining $0.19 (0.66%). Ending the day with an indecisive close, neither buyers nor sellers were able to gain control during the session.
Daily Candlestick Chart (EWQ as at Jul 27, 2020):
Monday's trading range has been $0.23 (0.8%), that's below the last trading month's daily average range of $0.36. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for EWQ.
One bullish candlestick pattern matches today's price action, the Bullish Spinning Top. The last time a Bullish Spinning Top showed up on May 27th, EWQ gained 1.17% on the following trading day.
Prices are trading close to the key technical support level at 28.55 (S1).
Though still in a long-term downtrend, the short and medium-term trends both turned bullish already.
Buying could speed up should prices move above the close-by swing high at 29.14 where further buy stops might get triggered. Selling could accelerate should prices move below the nearby swing low at 28.44 where further sell stops might get activated. Further buying could move prices higher should the market test June's close-by high at 29.23.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bullish Spinning Top" stand out. Its common bullish interpretation has been confirmed for EWQ. Out of 177 times, EWQ closed higher 54.80% 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 59.89% with an average market move of 0.31%.