BXP closes higher for the 2nd day in a row
Boston Properties Inc. (BXP) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, BXP finished the month 5.12% higher at 90.38 after edging higher $0.71 (0.79%) today, underperforming the S&P 500 (1.54%). Trading up to $1.40 lower after the open, the market managed to reverse during the session as bulls took control ending the day above its opening price. Closing above Monday's high at 90.15, Boston Properties confirmed its breakout through the previous session high after trading up to $0.56 above it intraday.
Daily Candlestick Chart (BXP as at Jun 30, 2020):
Tuesday's trading range has been $2.27 (2.53%), that's far below the last trading month's daily average range of $3.97. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently lower than usual for BXP. Prices continued to consolidate within a tight trading range between 86.89 and 92.33 where it has been caught now for the whole last trading week.
One bullish candlestick pattern matches today's price action, the Hammer.
The share managed to close back above the 50-day moving average at 89.79 for the first time since June 23rd. Prices are trading close to the key technical resistance level at 92.37 (R1). The stock was sold again around 90.71 after having seen highs at 90.15, 90.36 and 90.49 in the last three trading sessions. Obviously there is something going on at that level. The last time this happened on December 11, 2019, BXP lost -1.57% on the following trading day.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Selling could speed up should prices move below the close-by swing low at 86.89 where further sell stops might get activated. As prices are trading close to June's low at 85.61, downside momentum could accelerate should BXP mark new lows for the month.
Among the 10 market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Hammer" stand out. Its common bullish interpretation has been confirmed for Boston Properties. Out of 20 times, BXP closed higher 60.00% 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 65.00% with an average market move of 0.68%.