BKD closes lower for the 2nd day in a row
Brookdale Senior Living Inc. (BKD) Technical Analysis Report for May 22, 2020 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, BKD ended the week 16.14% higher at 3.31 after losing $0.04 (-1.19%) today, strongly underperforming the S&P 500 (0.24%) ahead of tomorrow's Memorial Day market holiday. Closing below Thursday's low at 3.33, the share confirmed its breakout through the previous session low after trading up to $0.25 below it intraday.
Daily Candlestick Chart (BKD as at May 22, 2020):
Friday's trading range has been $0.30 (8.9%), that's slightly below the last trading month's daily average range of $0.30. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for BKD.
Two candlestick patterns are matching today's price action, the Bullish Hikkake Pattern which is known as bullish pattern and one bearish pattern, the Hanging Man. The last time a Bullish Hikkake Pattern showed up on March 16th, BKD actually lost -11.95% on the following trading day.
After trading as low as 3.08 during the day, the stock found support at the 20-day moving average at 3.15.
While the market is experiencing a short-term uptrend, this might just be a correction, as both the medium and long-term trends are still bearish.
Buying could accelerate should prices move above the nearby swing high at 3.58 where further buy stops might get triggered.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bullish Bounce off SMA 20" stand out. Although it is usually interpreted as bullish, it has actually shown to be bearish for Brookdale Senior. Out of 60 times, BKD closed lower 55.00% of the time on the next trading day after the market condition occurred.