F runs into sellers around 6.10 for the third day in a row
Ford Motor Company (F) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, F ended the month 6.48% higher at 6.08 after gaining $0.07 (1.16%) today on low volume, slightly underperforming the S&P 500 (1.54%). Trading up to $0.08 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 Monday's high at 6.07, Ford Motor confirmed its breakout through the prior session high after trading up to $0.03 above it intraday.
Daily Candlestick Chart (F as at Jun 30, 2020):
Tuesday's trading range has been $0.20 (3.34%), that's far below the last trading month's daily average range of $0.34. Weekly volatility is also lower, being way below the market's average weekly trading range. The longer-term, monthly volatility is currently lower than usual for F. Prices continued to consolidate within a tight trading range between 5.80 and 6.12 where it has been caught now for the whole last trading week.
The market ran into sellers again today around 6.10 for the third trading day in a row after having found sellers at 6.07 in the previous session and at 6.07 two days ago.
The stock shows weakness in the short-term (in accordance with its long-term downtrend) with only the medium-term trend still being bullish.
Buying could accelerate should prices move above the close-by swing high at 6.38 where further buy stops might get triggered. Selling could speed up should prices move below the nearby swing low at 5.80 where further sell stops might get activated. As prices are trading close to June's low at 5.67, downside momentum could accelerate should F mark new lows for the month.
Among the nine 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 Ford Motor. Out of 139 times, F closed lower 51.80% 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 57.55% with an average market move of -0.40%.