BK pops to highest close since June 19th
Bank of New York Mellon Corporation (BK) Technical Analysis Report for Jul 13, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, BK ended Monday at 38.86 gaining $0.48 (1.25%), strongly outperforming the S&P 500 (-0.94%). Today's close at 38.86 marks the highest recorded closing price since June 19th. Ending the day with an indecisive close, neither buyers nor sellers were able to gain control during the session.
Daily Candlestick Chart (BK as at Jul 13, 2020):
Monday's trading range has been $1.25 (3.21%), that's slightly above the last trading month's daily average range of $1.21. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently notably lower than usual for BK.
Three candlestick patterns are matching today's price action, the Bearish Hikkake Pattern and the Northern Doji which are both known as bearish patterns and one neutral pattern, the Doji. The last time a Northern Doji showed up on April 24th, BK actually gained 3.30% on the following trading day.
Prices are trading close to the key technical resistance level at 39.52 (R1).
Though still in a long-term downtrend, the short and medium-term trends both turned bullish already.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Doji" stand out. Although it is usually interpreted as neutral, it has actually shown to be bullish for Bank of. Out of 165 times, BK closed higher 51.52% 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 53.94% with an average market move of 0.13%.