ENDP finds buyers at key support level
Endo International plc (ENDP) Technical Analysis Report for Jul 31, 2020 | by Techniquant Editorial Team
ENDP finished the month 1.46% higher at 3.48 after gaining $0.06 (1.75%) today, outperforming the S&P 500 (0.77%). Trading up to $0.10 lower after the open, the share managed to reverse during the session as bulls took control ending the day above its opening price. Closing above Thursday's high at 3.45, the market confirmed its breakout through the prior session high after trading up to $0.03 above it intraday.
Daily Candlestick Chart (ENDP as at Jul 31, 2020):
Friday's trading range has been $0.19 (5.6%), that's slightly below the last trading month's daily average range of $0.21. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for ENDP.
In a volatile session, prices traded above the previous day's high as well as below the prior day's low, forming a bullish Outside Bar. The last time this happened on March 2nd, ENDP actually lost -5.43% on the following trading day.
After trading down to 3.29 earlier during the day, Endo International bounced off the key technical support level at 3.33 (S1). The failure to close below the support could increase that levels importance as support going forward. The stock ran into sellers again today around 3.48 for the third trading day in a row after having found sellers at 3.45 in the previous session and at 3.46 two days ago.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "High close to prior two Highs" stand out. Its common bearish interpretation has been confirmed for Endo International. Out of 126 times, ENDP closed lower 52.38% 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 10 trading days, showing a win rate of 57.14% with an average market move of -0.84%.