ABF.L closes lower for the 4th day in a row
Associated British Foods (ABF.L) Technical Analysis Report for Jul 13, 2018 | by Techniquant Editorial Team
Moving lower for the 4th day in a row, ABF.L finished the week -1.12% lower at 2464.00 after losing £18.00 (-0.73%) today. Today's closing price of 2464.00 marks the lowest close since March 27th. Trading £33.00 higher after the open, the share was unable to hold its gains as the bears took control ending the day below its opening price. Closing below Thursday's low at 2477.00, the stock confirms its breakout through the previous session's low having traded £13.00 below it intraday. Ending with a weak close near the low of the day sets a bearish note for the next session.
Daily Candlestick Chart (ABF.L as at Jul 13, 2018):
Friday's trading range was £64.00 (2.57%), that's above last trading month's daily average range of £48.30. Things look different on a weekly scale, where volatility is way below the markets average with the monthly volatility being way above average.
In a volatile session, prices traded above the prior day's high as well as below the previous day's low, forming a bearish Outside Bar.
Prices are trading close to a key support level at 2458.00.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Selling might accelerate should prices move below the nearby swing low at 2458.00 where further sell stops could get activated. With prices trading close to this year's low at 2386.00, downside momentum might speed up should Associated British break out to new lows for the year.