BEN misses to close above 50-day moving average
Franklin Resources Inc. (BEN) Technical Analysis Report for Sep 16, 2020 | by Techniquant Editorial Team
Moving higher for the 4th day in a row, BEN ended Wednesday at 21.06 surging $0.67 (3.29%), notably outperforming the S&P 500 (-0.46%). Closing above Tuesday's high at 20.60, the stock confirmed its breakout through the previous session high after trading up to $0.78 above it intraday.
Daily Candlestick Chart (BEN as at Sep 16, 2020):
Wednesday's trading range has been $1.01 (4.95%), that's far above the last trading month's daily average range of $0.53. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for BEN.
Two candlestick patterns are matching today's price action, the Tweezer Bottom and the White Candle which are both known as bullish patterns. The last time a Tweezer Bottom showed up on April 24th, BEN gained 5.78% on the following trading day.
The share managed to close back above the 100-day moving average at 20.57 for the first time since September 9th. After spiking up to 21.38 during the day, the market found resistance at the 50-day moving average at 21.21. After having been unable to move lower than 20.37 in the prior session, Franklin Resources found buyers again around the same price level today at 20.37.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the 12 market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Tweezer Bottom" stand out. Its common bullish interpretation has been confirmed for Franklin Resources. Out of 10 times, BEN closed higher 70.00% 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 70.00% with an average market move of 2.76%.