GD dominated by bears dragging the market lower throughout the day
General Dynamics (GD) Technical Analysis Report for Jun 14, 2018 | by Techniquant Editorial Team
GD finished Thursday at 195.82 tanking $4.00 (-2.0%) on high volume. This is the biggest single day loss in over two weeks. Today's closing price of 195.82 marks the lowest close since May 4th. The bears were in full control today, moving the market lower throughout the whole session. Closing below Wednesday's low at 198.08, the market confirms its breakout through the prior session's low having traded $2.57 below it intraday. Ending with a weak close near the low of the day sets a bearish note for the next session.
Daily Candlestick Chart (GD as at Jun 14, 2018):
Thursday's trading range was $5.49 (2.73%), that's far above last trading month's daily average range of $3.09. Weekly volatility is also higher, being slightly above the markets average with the monthly volatility being below average.
Prices are trading close to a key support level at 194.47. Breaking below the key support level at 199.05 today, it is now likely to act as resistance going forward. After having been unable to move above 201.27 in the previous session, the stock ran into sellers again around the same price level today, failing to move higher than 201.00.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
With prices trading close to this year's low at 191.00, downside momentum could speed up should General Dynamics break out to new lows for the year.