EQIX dominated by bears dragging the market lower throughout the day
Equinix Inc. (EQIX) Technical Analysis Report for Sep 16, 2020 | by Techniquant Editorial Team
EQIX ended Wednesday at 767.34 losing $1.11 (-0.14%), but still slightly outperforming the S&P 500 (-0.46%). 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.
Daily Candlestick Chart (EQIX as at Sep 16, 2020):
Wednesday's trading range has been $16.66 (2.14%), that's slightly below the last trading month's daily average range of $16.67. Things look different on the weekly timeframe, where the market's trading range of the last week has been above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for EQIX.
One bearish candlestick pattern matches today's price action, the Black Candle. The last time a Black Candle showed up on September 10th, EQIX actually gained 0.66% on the following trading day.
Prices are trading close to the key technical support level at 754.92 (S1). Prices are trading close to the key technical resistance level at 775.03 (R1).
Although the share is currently in a short-term downtrend, this might just be a correction, as both the medium and long-term trends are still bullish.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Decisive Down Move" stand out. While it is usually interpreted as bearish, it has actually shown to be bullish for Equinix. Out of 258 times, EQIX closed higher 52.33% 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 64.34% with an average market move of 1.34%.