BLL closes within prior day's range after lackluster session
Ball Corporation (BLL) Technical Analysis Report for Jun 01, 2020 | by Techniquant Editorial Team
BLL ended Monday at 71.17 edging lower $0.09 (-0.13%), underperforming the S&P 500 (0.38%). Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range in a lackluster session.
Daily Candlestick Chart (BLL as at Jun 01, 2020):
Monday's trading range has been $0.66 (0.93%), that's far below the last trading month's daily average range of $1.84. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently higher than usual for BLL.
During the whole day, prices traded within the prior day's range, unable to trade above the previous day's high or below the prior day's low forming an Inside Bar.
Prices are trading close to the key technical support level at 70.34 (S1). After having been unable to move above 71.50 in the previous session, the market ran into sellers again around the same price level today, missing to move higher than 71.40. The last time this happened on May 22nd, BLL actually gained 3.15% on the following trading day.
Crossing below the upper Bollinger Band, prices have lost at least some of their upward momentum in the short-term and might now be heading back down towards the mean of the Bollinger Bands at 65.44.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying could speed up should prices move above the close-by swing high at 71.50 where further buy stops might get activated.
Among the three market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "High close to prior High" stand out. While it is usually interpreted as bearish, it has actually shown to be bullish for Ball. Out of 562 times, BLL closed higher 53.38% 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 57.83% with an average market move of 0.70%.