FBP closes within previous day's range
First BanCorp. (FBP) Technical Analysis Report for Apr 16, 2019 | by Techniquant Editorial Team
FBP ended Tuesday at 11.63 gaining $0.17 (1.48%), strongly outperforming the S&P 500 (0.05%). Closing within the prior day's range, prices missed to decisively move beyond the previous day's trading range.
Daily Candlestick Chart (FBP as at Apr 16, 2019):
Tuesday's trading range has been $0.23 (2.0%), that's slightly below the last trading month's daily average range of $0.26. Weekly volatility is also lower, being way below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for FBP. Prices continued to consolidate within a tight trading range between 11.41 and 11.68 where it has been caught now for the last three trading days.
One bullish candlestick pattern matches today's price action, the White Candle.
First BanCorp. ran into sellers again today around 11.67 for the third trading day in a row after having found sellers at 11.67 in the prior session and at 11.68 two days ago. The last time this happened on February 22nd, FBP lost -2.07% on the following trading day.
Although 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.
Buying could accelerate should prices move above the nearby swing high at 11.68 where further buy stops might get triggered. Selling could speed up should prices move below the close-by swing low at 11.41 where further sell stops might get activated. With prices trading close to this year's high at 11.94, upside momentum could accelerate should the stock be able to break out to new highs for the year.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "High close to previous two Highs" stand out. Its common bearish interpretation has been confirmed for First BanCorp.. Out of 191 times, FBP closed lower 49.21% 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 eight trading days, showing a win rate of 51.31% with an average market move of 0.37%.