XOP breaks back above 100-day moving average
SPDR S&P Oil & Gas Exploration & Production ETF (XOP) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, XOP finished the month 0.58% higher at 52.18 after gaining $1.40 (2.76%) today. Closing above Monday's high at 51.29, the market confirmed its breakout through the prior session high after trading up to $1.14 above it intraday.
Daily Candlestick Chart (XOP as at Jun 30, 2020):
Tuesday's trading range has been $2.68 (5.32%), that's slightly below the last trading month's daily average range of $3.03. Weekly volatility is also lower, being way below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for XOP.
Two candlestick patterns are matching today's price action, the White Candle which is known as bullish pattern and one bearish pattern, the Bearish Hikkake Pattern.
XOP ETF managed to close back above the 100-day moving average at 51.25. The ETF found buyers again today around 49.75 for the third trading day in a row after having found demand at 49.49 in the previous session and at 49.48 two days ago. The last time this happened on March 17th, XOP actually lost -8.91% on the following trading day.
XOP shows weakness in the short-term (in accordance with its long-term downtrend) with only the medium-term trend still being bullish.
Selling could speed up should prices move below the close-by swing low at 49.48 where further sell stops might get activated.
Among the 10 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 XOP ETF. Out of 391 times, XOP closed higher 51.41% 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 nine trading days, showing a win rate of 52.94% with an average market move of 0.22%.