FBHS breaks below previous session low
Fortune Brands Home & Security Inc. (FBHS) Technical Analysis Report for Aug 10, 2018 | by Techniquant Editorial Team
Moving lower for the 5th day in a row, FBHS finished the week -5.02% lower at 54.63 after losing $1.33 (-2.38%) today. Today's closing price of 54.63 marks the lowest close since July 26th. Trading $0.53 higher after the open, the market was unable to hold its gains as the bears took control ending the day below its opening price. Closing below Thursday's low at 55.89, the stock confirms its breakout through the previous session's low having traded $1.58 below it intraday. Ending the day with an indecisive close, neither buyers nor sellers were able to gain control during the session.
Daily Candlestick Chart (FBHS as at Aug 10, 2018):
Friday's trading range was $0.86 (1.57%), that's slightly below last trading month's daily average range of $1.26. Things look different on a weekly scale, where volatility is above the markets average with the monthly volatility being slightly above average.
Prices are trading close to a key support level at 54.17. Unable to break through the key technical resistance level at 55.15, the share closed below it after spiking as high as 55.17 during the day. The failure to close above the resistance might increase that levels importance as resistance going forward.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term. Fortune Brands broke below the 50-day moving average at 55.91 today for the first time since July 23rd.
With prices trading close to this year's low at 52.63, downside momentum could speed up should FBHS break out to new lows for the year. Further selling might move prices lower should the market test July's close-by low at 52.81.