EQT closes higher for the 3rd day in a row
EQT Corporation (EQT) Technical Analysis Report for Sep 16, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, EQT finished Wednesday at 14.76 gaining $0.51 (3.58%), significantly outperforming the S&P 500 (-0.46%). Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range.
Daily Candlestick Chart (EQT as at Sep 16, 2020):
Wednesday's trading range has been $0.80 (5.59%), that's above the last trading month's daily average range of $0.70. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for EQT.
In a volatile session, prices traded above the prior day's high as well as below the previous day's low, forming a bullish Outside Bar. The last time this happened on July 29th, EQT actually lost -1.73% on the following trading day. Additionally, one bullish candlestick pattern matches today's price action, the White Candle.
Prices are trading close to the key technical resistance level at 15.05 (R1). After having been unable to move lower than 14.18 in the prior session, the market found buyers again around the same price level today at 14.17.
While 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.
As prices are trading close to September's high at 15.84, upside momentum could accelerate should the stock mark new highs for the month.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the Technical Indicators based market condition "RSI(2) above 80" stand out. Its common bearish interpretation has been confirmed for EQT. Out of 304 times, EQT closed lower 56.91% 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 52.63% with an average market move of -0.05%.