XLE closes higher for the 3rd day in a row
Energy Select Sector SPDR Fund (XLE) Technical Analysis Report for Feb 13, 2019 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, XLE finished Wednesday at 64.84 gaining $0.80 (1.25%). Closing above Tuesday's high at 64.41, the ETF confirmed its breakout through the previous session high after trading up to $0.94 above it intraday.
Daily Candlestick Chart (XLE as at Feb 13, 2019):
Wednesday's trading range has been $1.12 (1.74%), that's slightly above the last trading month's daily average range of $0.99. Weekly volatility is also higher, being above the market's average weekly trading range. The longer-term, monthly volatility is currently lower than usual for XLE.
Prices are trading close to the key technical support level at 64.22 (S1).
Though the market is experiencing a short-term uptrend, this could just be a correction, as both the medium and long-term trends are still bearish.
Among the three 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 XLE. Out of 371 times, XLE closed higher 50.94% 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 57.95% with an average market move of 0.36%.