FCX finds buyers at key support level
Freeport-McMoran Cp & Gld (FCX) Technical Analysis Report for Apr 16, 2018 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, FCX finished Monday at 18.16 gaining $0.29 (1.62%) on low volume. Today's closing price of 18.16 marks the highest close since March 21st. Trading up to $0.26 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 Friday's high at 18.08, the stock confirms its breakout through the prior session's high having traded $0.14 above it intraday. Ending with a strong close near the high of the day sets a bullish note for the next session.
Daily Candlestick Chart (FCX as at Apr 16, 2018):
Monday's trading range was $0.39 (2.16%), that's far below last trading month's daily average range of $0.59. Things look different on a weekly scale, where volatility is way below the markets average with the monthly volatility being slightly above average. Prices continued to consolidate within a tight trading range between 17.48 and 18.29 which it has been in now for the last trading week.
After trading as low as 17.83 during the day, the market bounced off the key support level at 17.99. The failure to close below the support might increase that levels importance as support going forward.
FCX shows strength in the short-term supported by its long-term uptrend with only the medium-term trend being bearish. The share managed to break above the 50-day moving average at 18.12 today for the first time since March 21st.
Buying could accelerate should prices move above the nearby swing high at 18.29 where further buy stops might get triggered.