DLPH closes above its opening price after recovering from early selling pressure
Delphi Automotive (DLPH) Technical Analysis Report for Apr 16, 2018 | by Techniquant Editorial Team
DLPH ended Monday at 49.84 gaining $0.83 (1.69%). Today's closing price of 49.84 marks the highest close since April 5th. Trading up to $0.37 lower after the open, the market managed to reverse during the session as bulls took control ending the day above its opening price. Closing within the prior day's range, prices failed to decisively move past the previous day's trading range in a lackluster session. Ending the day with an indecisive close, neither buyers nor sellers were able to gain control during the session.
Daily Candlestick Chart (DLPH as at Apr 16, 2018):
Monday's trading range was $0.84 (1.69%), that's below last trading month's daily average range of $1.23. Things look different on a weekly scale, where volatility is slightly below the markets average with the monthly volatility being slightly above average. Prices continued to consolidate within a tight trading range between 48.81 and 50.20 which it has been in now for the last trading week.
Prices are trading close to the key resistance level at 50.26. The share ran into sellers again today around 50.20 for the third trading day in a row after having found sellers at 50.19 in the prior session and at 50.00 two days ago.
Although the stock is experiencing a short-term up trend, this could just be a correction, as both the medium and long term trends are still in negative territory. DLPH managed to break above the 50-day moving average at 49.27 today for the first time since April 12th.
Selling might speed up should prices move below the close-by swing low at 48.88 where further sell stops could get activated. As prices are trading close to April's high at 50.93, upside momentum might accelerate should the market mark new highs for the month.