IWB closes within previous day's range
iShares Russell 1000 ETF (IWB) Technical Analysis Report for Apr 16, 2019 | by Techniquant Editorial Team
IWB ended Tuesday at 161.55 gaining $0.09 (0.06%). Closing within the previous day's range, prices failed to decisively move beyond the prior day's trading range.
Daily Candlestick Chart (IWB as at Apr 16, 2019):
Tuesday's trading range has been $0.89 (0.55%), that's slightly below the last trading month's daily average range of $1.18. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for IWB. Prices continued to consolidate within a tight trading range between 160.95 and 162.04 where it has been caught now for the last three trading days.
One bearish candlestick pattern matches today's price action, the Black Candle. The last time a Black Candle showed up on March 22nd, IWB lost -0.05% on the following trading day.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Selling might speed up should prices move below the nearby swing low at 160.95 where further sell stops could get activated. 2018's high at 164.13 is within reach and we might see further upside momentum should the ETF manage to break out beyond.
Among the two market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Black Candle" stand out. Although it is usually interpreted as bearish, it has actually shown to be bullish for IWB. Out of 493 times, IWB closed higher 57.00% 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 10 trading days, showing a win rate of 64.71% with an average market move of 0.78%.