FVD pushes through Monday's high
First Trust VL Dividend (FVD) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, FVD finished the month -1.24% lower at 30.32 after gaining $0.31 (1.03%) today. Closing above Monday's high at 30.01, First Trust confirmed its breakout through the previous session high after trading up to $0.45 above it intraday.
Daily Candlestick Chart (FVD as at Jun 30, 2020):
Tuesday's trading range has been $0.52 (1.73%), that's slightly below the last trading month's daily average range of $0.60. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for FVD.
One bullish candlestick pattern matches today's price action, the White Candle.
The ETF managed to close back above the 50-day moving average at 30.05. When this moving average was crossed above the last time on May 18th, FVD actually lost -1.70% on the following trading day.
The market shows weakness in the short-term (in accordance with its long-term downtrend) with only the medium-term trend still being bullish.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Closed above last periods high" stand out. Its common bullish interpretation has been confirmed for First Trust. Out of 363 times, FVD closed higher 54.55% 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 60.33% with an average market move of 0.22%.