C closes within previous day's range
Citigroup Inc. (C) Technical Analysis Report for Jun 01, 2020 | by Techniquant Editorial Team
C finished Monday at 49.45 gaining $1.54 (3.21%) on low volume, significantly outperforming the S&P 500 (0.38%). The bulls were in full control today, moving the market higher throughout the whole session. Closing within the prior day's range, prices missed to decisively move beyond the previous day's trading range.
Daily Candlestick Chart (C as at Jun 01, 2020):
Monday's trading range has been $1.86 (3.86%), that's slightly below the last trading month's daily average range of $2.00. 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 slightly higher than usual for C.
One bullish candlestick pattern matches today's price action, the White Candle. The last time a White Candle showed up on May 26th, C gained 8.49% on the following trading day.
After having been unable to move lower than 47.56 in the prior session, Citigroup found buyers again around the same price level today at 47.82.
While still in a long-term downtrend, the short and medium-term trends both turned bullish already.
Selling might speed up should prices move below the nearby swing low at 47.56 where further sell stops could get triggered.
Among the seven 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 Citigroup. Out of 467 times, C closed higher 53.32% 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 56.53% with an average market move of 0.30%.