IJT closes lower for the 2nd day in a row
iShares S&P Small-Cap 600 Growth ETF (IJT) Technical Analysis Report for Jul 31, 2020 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, IJT finished the month 5.58% higher at 179.27 after losing $0.80 (-0.44%) today. Closing within the prior day's range, prices missed to decisively move beyond the previous day's trading range.
Daily Candlestick Chart (IJT as at Jul 31, 2020):
Friday's trading range has been $3.80 (2.12%), that's above the last trading month's daily average range of $3.18. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for IJT.
Five candlestick patterns are matching today's price action, the Bullish Hikkake Pattern and the Dragonfly Doji which are both known as bullish patterns, two bearish patterns, the Hanging Man and the Northern Doji and one neutral pattern, the Doji. The last time a Northern Doji showed up on June 9th, IJT lost -2.67% on the following trading day.
Prices are trading close to the key technical resistance level at 180.67 (R1).
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying might speed up should prices move above the nearby swing high at 180.67 where further buy stops could get triggered. Further buying might move prices higher should the market test June's close-by high at 182.84.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Dragonfly Doji" stand out. Though it is usually interpreted as bullish, it has actually shown to be bearish for IJT. Out of 3 times, IJT closed lower 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 short side has been after 10 trading days, showing a win rate of 66.67% with an average market move of -0.14%.