BK closes within previous day's range
Bank of New York Mellon Corporation (BK) Technical Analysis Report for Jan 15, 2020 | by Techniquant Editorial Team
BK ended Wednesday at 50.69 losing $0.32 (-0.63%), underperforming the S&P 500 (0.19%). Closing within the prior day's range, prices missed to decisively move beyond the previous day's trading range.
Daily Candlestick Chart (BK as at Jan 15, 2020):
Wednesday's trading range has been $0.52 (1.03%), that's slightly below the last trading month's daily average range of $0.55. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently lower than usual for BK.
One bearish candlestick pattern matches today's price action, the Bearish Spinning Top. The last time a Bearish Spinning Top showed up on January 9th, BK lost -1.83% on the following trading day.
The stock closed back below the 20-day moving average at 50.74.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying might accelerate should prices move above the close-by swing high at 51.21 where further buy stops could get triggered. With prices trading close to this year's low at 49.80, downside momentum might speed up should Bank of break out to new lows for the year.
Among the three market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bearish Break through SMA 20" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for Bank of. Out of 143 times, BK closed higher 55.94% of the time on the next trading day after the market condition occurred.