NKY rises to highest close since October 10, 2018
Nikkei 225 Index (NKY) Technical Analysis Report for Nov 08, 2019 | by Techniquant Editorial Team
Moving higher for the 4th day in a row, NKY ended the week 2.37% higher at 23391.87 after gaining ¥61.55 (0.26%) today. Today's close at 23391.87 marks the highest recorded closing price since October 10, 2018.
Daily Candlestick Chart (NKY as at Nov 08, 2019):
Friday's trading range has been ¥277.68 (1.18%), that's far above the last trading month's daily average range of ¥143.47. Weekly volatility is also higher, being way above the market's average weekly trading range. The longer-term, monthly volatility is currently strongly higher than usual for NKY.
Two candlestick patterns are matching today's price action, the Bearish Hikkake Pattern and the Black Candle which are both known as bearish patterns. The last time a Black Candle showed up on October 30th, NKY actually gained 0.37% on the following trading day.
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 Price Action based market condition "52 Week High" stand out. Its common bullish interpretation has been confirmed for Nikkei 225. Out of 162 times, NKY closed higher 58.02% 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 57.41% with an average market move of 0.16%.
With three of the other Major World Indices closing higher and three closing lower today, the winners of the day are NDX surging 0.44% and SPX gaining 0.26%. On the flipside the worst performers have been HSI closing -0.7% lower and FTSE losing -0.63%. Read more