DRE runs into sellers again around 33.35
Duke Realty Corporation (DRE) Technical Analysis Report for May 22, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, DRE finished the week 7.95% higher at 33.28 after gaining $0.24 (0.73%) today, slightly outperforming the S&P 500 (0.24%) ahead of tomorrow's Memorial Day market holiday. 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 in a lackluster session.
Daily Candlestick Chart (DRE as at May 22, 2020):
Friday's trading range has been $0.45 (1.36%), that's far below the last trading month's daily average range of $1.05. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for DRE. Prices continued to consolidate within a tight trading range between 31.84 and 33.37 where it has been caught now for the whole last trading week.
During the whole day, prices traded within the prior day's range, unable to trade above the previous day's high or below the prior day's low forming an Inside Bar. Additionally, two candlestick patterns are matching today's price action, the Bullish Short Candle and the White Candle which are both known as bullish patterns.
The stock managed to close above the 20-day moving average at 33.09 for the first time since April 30th. After having been unable to move above 33.37 in the previous session, Duke Realty ran into sellers again around the same price level today, failing to move higher than 33.35. The last time this happened on Tuesday, DRE actually gained 2.48% on the following trading day.
The share shows weakness in the short-term (in accordance with its long-term downtrend) with only the medium-term trend still being bullish.
Buying could accelerate should prices move above the close-by swing high at 33.37 where further buy stops might get activated. As prices are trading close to May's high at 34.23, upside momentum could speed up should the market mark new highs for the month.
Among the nine market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bullish Short Candle" stand out. Its common bullish interpretation has been confirmed for Duke Realty. Out of 86 times, DRE closed higher 54.65% 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 58.14% with an average market move of 0.40%.