IJR closes lower for the 7th day in a row
iShares Core S&P Small-Cap ETF (IJR) Technical Analysis Report for Oct 12, 2018 | by Techniquant Editorial Team
Moving lower for the 7th day in a row, IJR finished the week -5.41% lower at 79.28 after losing $0.16 (-0.2%) today. Today's close at 79.28 marks the lowest recorded closing price since May 4th. Closing below Thursday's low at 79.44, the ETF confirmed its breakout through the previous session low after trading up to $0.98 below it intraday.
Daily Candlestick Chart (IJR as at Oct 12, 2018):
Friday's trading range has been $2.14 (2.66%), that's far above the last trading month's daily average range of $1.21. Weekly volatility is also higher, being way above the market's average weekly trading range. The longer-term, monthly volatility is currently strongly higher than usual for IJR.
One bearish candlestick pattern matches today's price action, the Black Candle.
With another close below the lower Bollinger Band, prices are confirming their strong downward momentum in the short-term. A rally back into the Bollinger Band on the next trading day while could signal a potential change in momentum that might lead to a correction back up towards the center of the Bollinger Bands at 85.60.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "7 Consecutive Lower Closes" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for IJR. Out of 1 times, IJR closed higher 100.00% 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 four trading days, showing a win rate of 100.00% with an average market move of 2.34%.