BRX closes above its opening price after recovering from early selling pressure
Brixmor Property Group Inc. (BRX) Technical Analysis Report for Sep 16, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, BRX ended Wednesday at 13.26 gaining $0.34 (2.63%), notably outperforming the S&P 500 (-0.46%). Today's close at 13.26 marks the highest recorded closing price since June 16th. Trading up to $0.24 lower after the open, the market managed to reverse during the session as bulls took control ending the day above its opening price. The last time this happened on August 17th, BRX actually lost -3.89% on the following trading day. Closing above Tuesday's high at 13.22, the stock confirmed its breakout through the prior session high after trading up to $0.22 above it intraday.
Daily Candlestick Chart (BRX as at Sep 16, 2020):
Wednesday's trading range has been $0.68 (5.23%), that's far above the last trading month's daily average range of $0.50. Weekly volatility is also higher, being above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for BRX.
Unable to break through the key technical resistance level at 13.27 (R1), the share closed below it after spiking up to 13.44 earlier during the day. The failure to close above the resistance might increase that levels significance going forward.
Crossing above the upper Bollinger Band for the first time since September 4th, prices have shown unusually strong upward momentum in the short-term. This could either indicate a potential buying climax after which prices might head back down towards the mean of the Bollinger Bands at 12.24 or signal the beginning of a strong momentum breakout leading to even higher prices.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Trading close to July's high at 13.77 we could see further upside momentum if potential buy stops at the level get triggered.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Bullish Intraday Reversal" stand out. Its common bullish interpretation has been confirmed for Brixmor Property. Out of 334 times, BRX closed higher 54.49% 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 three trading days, showing a win rate of 53.29% with an average market move of 0.02%.