IWC closes above its opening price after recovering from early selling pressure
iShares Micro-Cap ETF (IWC) Technical Analysis Report for Apr 16, 2019 | by Techniquant Editorial Team
IWC ended Tuesday at 94.72 gaining $0.34 (0.36%). Trading up to $0.25 lower after the open, the market managed to reverse during the session as bulls took control ending the day above its opening price. Closing within the prior day's range, prices missed to decisively move beyond the previous day's trading range in a lackluster session.
Daily Candlestick Chart (IWC as at Apr 16, 2019):
Tuesday's trading range has been $0.43 (0.45%), that's far below the last trading month's daily average range of $1.14. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for IWC.
During the whole day, prices traded within the prior day's range, unable to trade above the previous day's high or below the prior day's low forming an Inside Bar. After moving lower in the previous session, the ETF managed to close higher but below the prior day's open, forming a bullish Harami Candle. The last time this candlestick pattern showed up on January 24th, IWC gained 1.41% on the following trading day. Additionally, three candlestick patterns are matching today's price action, the Bullish Harami Cross Pattern which is known as bullish pattern, one bearish pattern, the Northern Doji and one neutral pattern, the Doji.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying might accelerate should prices move above the close-by swing high at 95.71 where further buy stops could get triggered. Selling might speed up should prices move below the nearby swing low at 94.00 where further sell stops could get activated.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bullish Harami Candle" stand out. Its common bullish interpretation has been confirmed for IWC. Out of 43 times, IWC closed higher 55.81% 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 62.79% with an average market move of 1.76%.