F dominated by bears dragging the market lower throughout the day
Ford Motor Company (F) Technical Analysis Report for Feb 14, 2020 | by Techniquant Editorial Team
F finished the week -0.12% lower at 8.10 after losing $0.15 (-1.82%) today, strongly underperforming the S&P 500 (0.18%) ahead of tomorrow's Presidents' Day market holiday. The bears were in full control today, moving the market lower throughout the whole session. Closing below Thursday's low at 8.21, the share confirmed its breakout through the prior session low after trading up to $0.13 below it intraday.
Daily Candlestick Chart (F as at Feb 14, 2020):
Friday's trading range has been $0.19 (2.3%), that's above the last trading month's daily average range of $0.15. Things look different on the weekly timeframe, where the market's trading range of the last week has been below the market's average weekly trading range. The longer-term, monthly volatility is currently significantly higher than usual for F.
One bearish candlestick pattern matches today's price action, the Black Candle. The last time a Black Candle showed up on Monday, F actually gained 0.50% on the following trading day.
Prices are trading close to the key technical support level at 8.02 (S1).
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Selling could accelerate should prices move below the close-by swing low at 8.02 where further sell stops might get triggered.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Close to Swing Low" stand out. While it is usually interpreted as neutral, it has actually shown to be bearish for Ford Motor. Out of 736 times, F closed lower 49.86% 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 52.17% with an average market move of -0.14%.