CXO breaks below Thursday's low
Concho Resources Inc. (CXO) Technical Analysis Report for Mar 27, 2020 | by Techniquant Editorial Team
CXO finished the week 3.82% higher at 42.11 after losing $2.69 (-6.0%) today, strongly underperforming the S&P 500 (-3.37%). Trading $1.08 higher after the open, the stock was unable to hold its gains as the bears took control ending the day below its opening price. The last time this happened on Wednesday, CXO actually gained 2.38% on the following trading day. Closing below Thursday's low at 42.81, the market confirmed its breakout through the previous session low after trading up to $1.41 below it intraday.
Daily Candlestick Chart (CXO as at Mar 27, 2020):
Friday's trading range has been $2.52 (5.88%), that's far below the last trading month's daily average range of $5.61. Weekly volatility is also lower, being way below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for CXO.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Buying might accelerate should prices move above the close-by swing high at 46.57 where further buy stops could get activated.
Among the three market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Bearish Intraday Reversal" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for Concho Resources. Out of 395 times, CXO closed higher 52.41% of the time on the next trading day after the market condition occurred.