N100 finds buyers again around 1081.86
Euronext 100 (N100) Technical Analysis Report for Jul 08, 2019 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, N100 ended Monday at 1084.57 losing €1.51 (-0.14%). Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range in a lackluster session.
Daily Candlestick Chart (N100 as at Jul 08, 2019):
Monday's trading range has been €5.52 (0.51%), that's below the last trading month's daily average range of €7.97. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for N100.
One bullish candlestick pattern matches today's price action, the Bullish Spinning Top.
Unable to break through the key technical resistance level at 1085.31 (R1), the market closed below it after spiking up to 1087.38 earlier during the day. The failure to close above the resistance could increase that levels significance going forward. After having been unable to move lower than 1082.45 in the prior session, Euronext found buyers again around the same price level today at 1081.86. The last time this happened on July 2nd, N100 gained 0.95% on the following trading day.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Selling might accelerate should prices move below the nearby swing low at 1077.12 where further sell stops could get triggered.
Among the five market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Close to Swing Low" stand out. Though it is usually interpreted as neutral, it has actually shown to be bullish for Euronext. Out of 585 times, N100 closed higher 53.85% 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 58.46% with an average market move of 0.26%.
With five out of the other five Major European Indices closing lower today, the ones that stand out on the negative side are BEL20 losing -0.96% and TECDAX closing -0.24% lower. None of the markets managed to end the day in the green. Read more