PIN dominated by bulls lifting the market higher throughout the day
PowerShares India ETF (PIN) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, PIN ended Thursday at 14.49 gaining $1.18 (8.87%). The bulls were in full control today, moving the market higher throughout the whole session. Closing above Wednesday's high at 13.60, the ETF confirmed its breakout through the previous session high after trading up to $0.90 above it intraday.
Daily Candlestick Chart (PIN as at Mar 26, 2020):
Thursday's trading range has been $1.64 (12.75%), that's far above the last trading month's daily average range of $0.65. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently notably higher than usual for PIN.
One bullish candlestick pattern matches today's price action, the White Candle.
Prices are trading close to the key technical resistance level at 15.04 (R1). After having been unable to move lower than 12.86 in the prior session, the market found buyers again around the same price level today at 12.86. The last time this happened on March 6th, PIN actually lost -5.48% on the following trading day.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Up Close near high of period" stand out. While it is usually interpreted as bullish, it has actually shown to be bearish for PIN. Out of 643 times, PIN closed lower 58.94% 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 53.81% with an average market move of -0.49%.