BMY finds buyers again around 62.75
Bristol-Myers Squibb Company (BMY) Technical Analysis Report for Aug 14, 2020 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, BMY ended the week 3.51% higher at 63.16 after losing $0.08 (-0.13%) today on low volume, slightly underperforming the S&P 500 (-0.02%). Trading $0.36 higher after the open, the market was unable to hold its gains as the bears took control ending the day below its opening price. Closing within the previous day's range, prices missed to decisively move beyond the prior day's trading range in a lackluster session.
Daily Candlestick Chart (BMY as at Aug 14, 2020):
Friday's trading range has been $0.80 (1.27%), that's below the last trading month's daily average range of $1.19. 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 BMY.
Two candlestick patterns are matching today's price action, the Northern Doji which is known as bearish pattern and one neutral pattern, the Doji.
After having been unable to move lower than 62.90 in the previous session, Bristol-Myers Squibb found buyers again around the same price level today at 62.75. The last time this happened on August 7th, BMY gained 1.31% on the following trading day.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying might speed up should prices move above the close-by swing high at 64.27 where further buy stops could get activated.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Northern Doji" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for Bristol-Myers Squibb. Out of 71 times, BMY closed higher 59.15% 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 60.56% with an average market move of 0.89%.