ANTO.L unable to break through key resistance level
Antofagasta plc (ANTO.L) Technical Analysis Report for Oct 12, 2018 | by Techniquant Editorial Team
ANTO.L finished the week -5.37% lower at 782.60 after gaining £14.60 (1.9%) today, significantly outperforming the FTSE 100 (-0.16%). Ending the day with an indecisive close, neither buyers nor sellers were able to gain control during the session.
Daily Candlestick Chart (ANTO.L as at Oct 12, 2018):
Friday's trading range has been £29.40 (3.76%), that's slightly above the last trading month's daily average range of £25.94. Weekly volatility is also higher, being above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for ANTO.L.
Three candlestick patterns are matching today's price action, the Southern Doji which is known as bullish pattern, one bearish pattern, the Gravestone Doji and one neutral pattern, the Doji. The last time a Southern Doji showed up on Tuesday, ANTO.L actually lost -5.53% on the following trading day.
Unable to break through the key technical resistance level at 795.80 (R1), Antofagasta closed below it after spiking up to 807.00 earlier during the day. The failure to close above the resistance might increase that levels importance going forward.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Gravestone Doji" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for Antofagasta. Out of 40 times, ANTO.L closed higher 57.50% 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 60.00% with an average market move of 2.43%.