FLIR stuck within tight trading range
FLIR Systems Inc. (FLIR) Technical Analysis Report for Apr 16, 2019 | by Techniquant Editorial Team
FLIR ended Tuesday at 49.60 edging higher $0.10 (0.2%) on low volume, slightly outperforming the S&P 500 (0.05%). Trading $0.16 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 within the prior day's range, prices failed to decisively move beyond the previous day's trading range in a lackluster session.
Daily Candlestick Chart (FLIR as at Apr 16, 2019):
Tuesday's trading range has been $0.22 (0.44%), that's far below the last trading month's daily average range of $0.82. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently lower than usual for FLIR. Prices continued to consolidate within a tight trading range between 49.20 and 50.03 where it has been caught now for the last three trading days.
During the whole day, prices traded within the prior day's range, unable to trade above the previous day's high or below the prior day's low forming an Inside Bar. Additionally, three candlestick patterns are matching today's price action, the Northern Doji and the Shooting Star which are both known as bearish patterns and one neutral pattern, the Doji. The last time a Shooting Star showed up on January 23rd, FLIR actually gained 2.01% on the following trading day.
Prices are trading close to the key technical support level at 49.09 (S1).
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying could accelerate should prices move above the close-by swing high at 50.03 where further buy stops might get triggered. Selling could speed up should prices move below the nearby swing low at 49.20 where further sell stops might get activated.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Shooting Star" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for FLIR Systems. Out of 55 times, FLIR closed higher 56.36% 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 58.18% with an average market move of 1.65%.