EPD closes higher for the 3rd day in a row
Enterprise Products Partners L.P. (EPD) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, EPD finished Thursday at 15.07 gaining $0.96 (6.8%), outperforming the S&P 500 (6.24%). Closing above Wednesday's high at 14.93, the market confirmed its breakout through the prior session high after trading up to $0.95 above it intraday.
Daily Candlestick Chart (EPD as at Mar 26, 2020):
Thursday's trading range has been $2.02 (14.38%), that's slightly below the last trading month's daily average range of $2.05. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently strongly higher than usual for EPD.
One bullish candlestick pattern matches today's price action, the White Candle.
Unable to break through the key technical resistance level at 15.50 (R1), Enterprise Products closed below it after spiking up to 15.88 earlier during the day. The failure to close above the resistance might increase that levels significance going forward. When prices bounced off a significant resistance level the last time on March 13th, EPD lost -12.18% on the following trading day.
Though the stock is experiencing a short-term uptrend, this could just be a correction, as both the medium and long-term trends are still bearish.
Among the five market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Closed above last periods high" stand out. Its common bullish interpretation has been confirmed for Enterprise Products. Out of 418 times, EPD closed higher 53.11% 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 55.98% with an average market move of 0.08%.