BX stuck within tight trading range
The Blackstone Group L.P. Representing Limited Partnership Interests (BX) Technical Analysis Report for Jan 10, 2019 | by Techniquant Editorial Team
BX ended Thursday at 31.73 edging lower $0.01 (-0.03%) on low volume, slightly underperforming the S&P 500 (0.45%). Closing within the previous day's range, prices failed to decisively move beyond the prior day's trading range in a lackluster session.
Daily Candlestick Chart (BX as at Jan 10, 2019):
Thursday's trading range has been $0.52 (1.65%), that's far below the last trading month's daily average range of $1.10. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently significantly lower than usual for BX. Prices continued to consolidate within a tight trading range between 30.98 and 32.19 where it has been caught now for the last three trading days.
During the whole day, prices traded within the previous day's range, unable to trade above the prior day's high or below the previous day's low forming an Inside Bar.
After having been unable to move lower than 31.28 in the prior session, The Blackstone found buyers again around the same price level today at 31.36. The last time this happened on Monday, BX gained 0.87% on the following trading day.
While still in a long-term downtrend, the short and medium-term trends both turned bullish already.
Buying might accelerate should prices move above the close-by swing high at 32.19 where further buy stops could get activated.
Among the two market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Low close to previous low" stand out. Its common bullish interpretation has been confirmed for The Blackstone. Out of 540 times, BX closed higher 50.00% 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 57.59% with an average market move of 1.27%.