FXE finds buyers again around 102.58
CurrencyShares Euro ETF (FXE) Technical Analysis Report for Feb 14, 2020 | by Techniquant Editorial Team
Moving lower for the 3rd day in a row, FXE finished the week -1.0% lower at 102.61 after edging lower $0.05 (-0.05%) today ahead of tomorrow's Presidents' Day market holiday. Today's close at 102.61 marks the lowest recorded closing price since March 8, 2017. Ending with a weak close near the low of the day sets a bearish note for the next session.
Daily Candlestick Chart (FXE as at Feb 14, 2020):
Friday's trading range has been $0.24 (0.23%), that's slightly above the last trading month's daily average range of $0.23. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently higher than usual for FXE.
One bearish candlestick pattern matches today's price action, the Black Candle.
After having been unable to move lower than 102.61 in the prior session, the market found buyers again around the same price level today at 102.58. The last time this happened on Tuesday, FXE actually lost -0.41% on the following trading day.
Crossing above the lower Bollinger Band, prices have lost at least some of their downward momentum in the short-term and could now be heading back up towards the mean of the Bollinger Bands at 104.15.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "52 Week Low" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for FXE. Out of 112 times, FXE closed higher 53.57% of the time on the next trading day after the market condition occurred.