IOO fails to close above 20-day moving average
iShares Global 100 ETF (IOO) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, IOO finished the month 3.07% higher at 52.78 after gaining $0.58 (1.11%) today. The bulls were in full control today, moving the market higher throughout the whole session. Closing above Monday's high at 52.20, the market confirmed its breakout through the previous session high after trading up to $0.71 above it intraday.
Daily Candlestick Chart (IOO as at Jun 30, 2020):
Tuesday's trading range has been $0.92 (1.77%), that's slightly above the last trading month's daily average range of $0.86. 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 lower than usual for IOO.
Two candlestick patterns are matching today's price action, the Bullish Belt-hold and the White Candle which are both known as bullish patterns.
After spiking up to 52.91 during the day, the ETF found resistance at the 20-day moving average at 52.79. The last time this happened on May 15th, IOO actually gained 2.68% on the following trading day.
Although still in a long-term downtrend, the short and medium-term trends both turned bullish already.
Among the eight 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 IOO. Out of 290 times, IOO closed higher 53.45% 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 59.31% with an average market move of 0.25%.