EWW dominated by bulls lifting the market higher throughout the day
iShares MSCI Mexico Capped ETF (EWW) Technical Analysis Report for Oct 15, 2020 | by Techniquant Editorial Team
EWW ended Thursday at 35.17 edging higher $0.08 (0.23%) on low volume. The bulls were in full control today, moving the market higher throughout the whole session. Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range.
Daily Candlestick Chart (EWW as at Oct 15, 2020):
Thursday's trading range has been $0.67 (1.93%), that's slightly below the last trading month's daily average range of $0.77. Weekly volatility is also lower, being way below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for EWW.
Two candlestick patterns are matching today's price action, the Bullish Hikkake Pattern and the White Candle which are both known as bullish patterns. The last time a White Candle showed up on October 8th, EWW gained 1.33% on the following trading day.
Prices are trading close to the key technical support level at 34.72 (S1).
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the five market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bullish Hikkake Pattern" stand out. Though it is usually interpreted as bullish, it has actually shown to be bearish for EWW. Out of 104 times, EWW closed lower 50.96% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the short side has been after 10 trading days, showing a win rate of 54.81% with an average market move of -0.93%.