DRE dominated by bears dragging the market lower throughout the day
Duke Realty Corporation (DRE) Technical Analysis Report for Jul 02, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, DRE finished Thursday at 36.26 edging higher $0.14 (0.39%), slightly underperforming the S&P 500 (0.45%) ahead of tomorrow's Independence Day OBS market holiday. The bears were in full control today, moving the market lower throughout the whole session. 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 (DRE as at Jul 02, 2020):
Thursday's trading range has been $0.67 (1.83%), that's below the last trading month's daily average range of $1.04. 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 lower than usual for DRE.
Two candlestick patterns are matching today's price action, the Bearish Short Candle and the Black Candle which are both known as bearish patterns. The last time a Bearish Short Candle showed up on Monday, DRE actually gained 2.34% on the following trading day.
Prices are trading close to the key technical support level at 35.89 (S1).
The share shows weakness in the short-term (in accordance with its long-term downtrend) with only the medium-term trend still being bullish.
Further buying could move prices higher should the market test June's nearby high at 37.50.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Black Candle" stand out. Although it is usually interpreted as bearish, it has actually shown to be bullish for Duke Realty. Out of 492 times, DRE closed higher 50.20% 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 58.33% with an average market move of 0.77%.