GFT.DE closes below its opening price unable to hold early session gains
GFT Technologies SE (GFT.DE) Technical Analysis Report for Dec 07, 2018 | by Techniquant Editorial Team
GFT.DE ended the week -3.54% lower at 7.64 after gaining €0.08 (1.06%) today, outperforming the TecDAX (0.45%). Trading €0.18 higher after the open, the share 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.
Daily Candlestick Chart (GFT.DE as at Dec 07, 2018):
Friday's trading range has been €0.34 (4.38%), that's slightly below the last trading month's daily average range of €0.37. 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 GFT.DE.
One bullish candlestick pattern matches today's price action, the Homing Pigeon. The last time a Homing Pigeon showed up on November 16th, GFT.DE actually lost -5.63% on the following trading day.
Prices are trading close to the key technical support level at 7.53 (S1).
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Selling might speed up should prices move below the close-by swing low at 7.51 where further sell stops could get triggered.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Homing Pigeon" stand out. Its common bullish interpretation has been confirmed for GFT Technologies. Out of 38 times, GFT.DE closed higher 65.79% 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 55.26% with an average market move of 2.22%.