DISH closes below its opening price unable to hold early session gains
DISH Network Corporation (DISH) Technical Analysis Report for Aug 04, 2020 | by Techniquant Editorial Team
DISH finished Tuesday at 33.74 losing $0.22 (-0.65%), strongly underperforming the S&P 500 (0.36%). Trading $0.41 higher after the open, the market was unable to hold its gains as the bears took control ending the day below its opening price. Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range in a lackluster session.
Daily Candlestick Chart (DISH as at Aug 04, 2020):
Tuesday's trading range has been $0.82 (2.43%), that's below the last trading month's daily average range of $1.12. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for DISH.
After moving higher in the prior session, DISH Network closed lower but above the previous day's open today, forming a bearish Harami Candle. Additionally, four candlestick patterns are matching today's price action, the Northern Doji which is known as bearish pattern and three neutral patterns, the Doji, the Long-Legged Doji and the Rickshaw-Man. The last time a Rickshaw-Man showed up on March 25th, DISH gained 8.14% on the following trading day.
Unable to break through the key technical resistance level at 34.07 (R1), the stock closed below it after spiking up to 34.17 earlier during the day. The failure to close above the resistance could increase that levels importance going forward. After having been unable to move above 34.08 in the prior session, the share ran into sellers again around the same price level today, failing to move higher than 34.17.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Further buying might move prices higher should the market test July's close-by high at 35.44.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Rickshaw-Man" stand out. Though it is usually interpreted as neutral, it has actually shown to be bullish for DISH Network. Out of 32 times, DISH closed higher 65.63% 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 two trading days, showing a win rate of 59.38% with an average market move of 0.25%.