BA closes within previous day's range
The Boeing Company (BA) Technical Analysis Report for Mar 15, 2019 | by Techniquant Editorial Team
BA finished the week -10.31% lower at 378.99 after gaining $5.69 (1.52%) today on high volume, outperforming the Dow Indu. (0.54%). Closing within the previous day's range, prices failed to decisively move beyond the prior day's trading range.
Daily Candlestick Chart (BA as at Mar 15, 2019):
Friday's trading range has been $19.26 (5.19%), that's above the last trading month's daily average range of $10.91. Weekly volatility is also higher, being above the market's average weekly trading range. The longer-term, monthly volatility is currently higher than usual for BA. Prices continued to consolidate within a tight trading range between 363.33 and 385.71 where it has been caught now for the last three trading days.
In a volatile session, prices traded above the previous day's high as well as below the prior day's low, forming a bullish Outside Bar. Even with a weak opening The Boeing managed to close above the previous day's open and close, forming a bullish Engulfing Candle. The last time this candlestick pattern showed up on November 27, 2018, BA gained 4.86% on the following trading day.
Prices are trading close to the key technical support level at 365.55 (S1).
Crossing above the lower Bollinger Band, prices have lost at least some of their downward momentum in the short-term and might now be heading back up towards the mean of the Bollinger Bands at 415.21.
Though the stock is currently in a short-term downtrend, this could just be a correction, as both the medium and long-term trends are still bullish.
Among the three market conditions that our pattern recognition engine identified today, the statistics for the Technical Indicators based market condition "Close crossed above the lower Bollinger Band" stand out. Its common bullish interpretation has been confirmed for The Boeing. Out of 55 times, BA closed higher 65.45% 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 63.64% with an average market move of 1.14%.