DUK unable to break through key resistance level
Duke Energy Corporation (DUK) Technical Analysis Report for Jan 24, 2020 | by Techniquant Editorial Team
Moving higher for the 9th day in a row, DUK finished the week 2.73% higher at 96.28 after gaining $0.20 (0.21%) today on low volume, strongly outperforming the S&P 500 (-0.9%). Today's close at 96.28 marks the highest recorded closing price since October 10, 2019. Closing above Thursday's high at 96.16, the share confirmed its breakout through the prior session high after trading up to $0.45 above it intraday.
Daily Candlestick Chart (DUK as at Jan 24, 2020):
Friday's trading range has been $0.80 (0.83%), that's slightly below the last trading month's daily average range of $0.91. Things look different on the weekly timeframe, where the market's trading range of the last week has been way above the market's average weekly trading range. The longer-term, monthly volatility is currently notably higher than usual for DUK.
Unable to break through the key technical resistance level at 96.49 (R1), the stock closed below it after spiking up to 96.61 earlier during the day. The failure to close above the resistance could increase that levels importance going forward. When prices bounced off a significant resistance level the last time on January 13th, DUK actually gained 0.07% on the following trading day.
With another close above the upper Bollinger Band, prices are confirming their strong upward momentum in the short-term. A drop back into the Bollinger Band on the next trading day although might signal a potential change in momentum that could lead to a correction back down towards the center of the Bollinger Bands at 92.05.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
2019's high at 97.37 is within reach and we might see further upside momentum should the market manage to break out beyond.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "9 Consecutive Higher Closes" stand out. Its common bullish interpretation has been confirmed for Duke Energy. Out of 1 times, DUK closed higher 100.00% 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 eight trading days, showing a win rate of 100.00% with an average market move of 2.30%.