ENDP breaks below Monday's low
Endo International plc (ENDP) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
ENDP ended the month -11.14% lower at 3.43 after losing $0.04 (-1.15%) today on low volume, notably underperforming the S&P 500 (1.54%). Closing below Monday's low at 3.44, the market confirmed its breakout through the previous session low after trading up to $0.11 below it intraday.
Daily Candlestick Chart (ENDP as at Jun 30, 2020):
Tuesday's trading range has been $0.15 (4.35%), that's far below the last trading month's daily average range of $0.31. 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 ENDP.
Two candlestick patterns are matching today's price action, the Takuri Line which is known as bullish pattern and one bearish pattern, the Bearish Spinning Top. The last time a Takuri Line showed up on June 22nd, ENDP lost 0.00% on the following trading day.
Prices are trading close to the key technical support level at 3.29 (S1).
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Buying could speed up should prices move above the nearby swing high at 3.67 where further buy stops might get triggered. Selling could accelerate should prices move below the close-by swing low at 3.29 where further sell stops might get activated. Trading close to April's low at 3.01 we could see further downside momentum if potential sell stops at the level get triggered.
Among the five market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Takuri Line" stand out. Although it is usually interpreted as bullish, it has actually shown to be bearish for Endo International. Out of 68 times, ENDP closed lower 50.00% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the short side has been after three trading days, showing a win rate of 55.88% with an average market move of -0.27%.