FTR closes within previous day's range
Frontier Communications Corporation (FTR) Technical Analysis Report for Feb 14, 2020 | by Techniquant Editorial Team
FTR ended the week 1.79% higher at 0.57 after flat today on low volume, slightly underperforming the S&P 500 (0.18%) ahead of tomorrow's Presidents' Day market holiday. Closing within the prior day's range, prices missed to decisively move beyond the previous day's trading range.
Daily Candlestick Chart (FTR as at Feb 14, 2020):
Friday's trading range has been $0.03 (5.26%), that's slightly below the last trading month's daily average range of $0.04. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for FTR.
Four candlestick patterns are matching today's price action, the Southern Doji and the Tweezer Bottom which are both known as bullish patterns, one bearish pattern, the Gravestone Doji and one neutral pattern, the Doji. The last time a Doji showed up on Monday, FTR gained 3.57% on the following trading day.
After having been unable to move lower than 0.56 in the prior session, the stock found buyers again around the same price level today at 0.56.
While the share is experiencing a short-term uptrend, this might just be a correction, as both the medium and long-term trends are still bearish.
Selling could accelerate should prices move below the nearby swing low at 0.53 where further sell stops might get activated. 2019's low at 0.52 is within reach and we could see further downside momentum should Frontier Communications break out beyond.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Close to Swing Low" stand out. Although it is usually interpreted as neutral, it has actually shown to be bearish for Frontier Communications. Out of 707 times, FTR closed lower 47.24% 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 10 trading days, showing a win rate of 55.45% with an average market move of -2.06%.