BXP breaks below Thursday's low
Boston Properties Inc. (BXP) Technical Analysis Report for May 22, 2020 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, BXP finished the week 4.08% higher at 78.01 after losing $1.90 (-2.38%) today, strongly underperforming the S&P 500 (0.24%) ahead of tomorrow's Memorial Day market holiday. Closing below Thursday's low at 79.28, the market confirmed its breakout through the prior session low after trading up to $2.79 below it intraday.
Daily Candlestick Chart (BXP as at May 22, 2020):
Friday's trading range has been $4.24 (5.31%), that's above the last trading month's daily average range of $3.60. Things look different on the weekly timeframe, where the market's trading range of the last week has been below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for BXP.
After trading down to 76.49 earlier during the day, the stock bounced off the key technical support level at 77.35 (S1). The failure to close below the support could increase that levels importance as support going forward. When prices bounced off a significant support level the last time on Tuesday, BXP gained 3.87% on the following trading day.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Buying might speed up should prices move above the nearby swing high at 81.66 where further buy stops could get triggered.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Close to Swing High" stand out. Although it is usually interpreted as neutral, it has actually shown to be bullish for Boston Properties. Out of 788 times, BXP closed higher 52.54% 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 56.35% with an average market move of 0.15%.