JKSE closes within prior day's range
IDX Composite Index (JKSE) Technical Analysis Report for Jan 16, 2020 | by Techniquant Editorial Team
JKSE finished Thursday at 6286.05 edging higher Rp2.68 (0.04%). Trading up to Rp20.47 lower after the open, IDX Composite managed to reverse during the session as bulls took control ending the day above its opening price. The last time this happened on Tuesday, JKSE actually lost -0.66% on the following trading day. Closing within the previous day's range, prices failed to decisively move beyond the prior day's trading range.
Daily Candlestick Chart (JKSE as at Jan 16, 2020):
Thursday's trading range has been Rp44.05 (0.7%), that's slightly above the last trading month's daily average range of Rp40.35. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently lower than usual for JKSE.
One bullish candlestick pattern matches today's price action, the Bullish Spinning Top.
After trading down to 6255.49 earlier during the day, the index bounced off the key technical support level at 6274.29 (S1). The failure to close below the support might increase that levels importance as support going forward. After having been unable to move lower than 6255.50 in the previous session, the stock index found buyers again around the same price level today at 6255.49.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bounced off Technical Support S1" stand out. Its common bullish interpretation has been confirmed for IDX Composite. Out of 356 times, JKSE closed higher 62.08% 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 60.11% with an average market move of 0.38%.