SLV closes within previous day's range
iShares Silver Trust (SLV) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
Moving higher for the 6th day in a row, SLV finished Thursday at 13.53 gaining $0.02 (0.15%). Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range.
Daily Candlestick Chart (SLV as at Mar 26, 2020):
Thursday's trading range has been $0.45 (3.39%), that's slightly below the last trading month's daily average range of $0.50. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently strongly higher than usual for SLV. Prices continued to consolidate within a tight trading range between 12.87 and 13.71 where it has been caught now for the last three trading days.
Two candlestick patterns are matching today's price action, the White Candle which is known as bullish pattern and one bearish pattern, the Last Engulfing Top Pattern.
After having been unable to move lower than 13.19 in the prior session, the market found buyers again around the same price level today at 13.26. The last time this happened on February 5th, SLV gained 1.03% on the following trading day.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the five market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "High close to previous High" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for SLV. Out of 508 times, SLV closed higher 50.98% 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 51.18% with an average market move of 0.42%.