FB crashes, losing $4.19 (-2.46%) within a single day on high volume
Facebook Inc. (FB) Technical Analysis Report for Mar 15, 2019 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, FB finished the week -2.13% lower at 165.98 after tanking $4.19 (-2.46%) today on high volume, notably underperforming the Nasdaq 100 (0.88%). This is the biggest single-day loss in over two months. Ending the day with an indecisive close, neither buyers nor sellers were able to gain control during the session.
Daily Candlestick Chart (FB as at Mar 15, 2019):
Friday's trading range has been $5.07 (3.03%), that's far above the last trading month's daily average range of $3.12. Weekly volatility is also higher, being above the market's average weekly trading range. The longer-term, monthly volatility is currently lower than usual for FB.
After trading as low as 162.51 during the day, the stock found support at the 200-day moving average at 165.31. The last time this happened on March 19, 2018, FB actually lost -2.56% on the following trading day. The share closed back below the 20-day moving average at 166.40 for the first time since March 1st.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Further selling might move prices lower should the market test February's nearby low at 159.59.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the Technical Indicators based market condition "RSI(2) below 20" stand out. Its common bullish interpretation has been confirmed for Facebook. Out of 181 times, FB closed higher 57.46% 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 65.75% with an average market move of 2.14%.
With three out of the other four FAANG Stocks closing higher today, the ones that stand out on the positive side are AMZN gaining 1.55% and AAPL closing 1.3% higher. On the flipside the worst performer has been GOOGL closing -0.19% lower. Read more