GGAL closes higher for the 3rd day in a row
Grupo Financiero Galicia S.A. (GGAL) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, GGAL ended Thursday at 7.85 gaining $0.23 (3.02%), notably underperforming the S&P 500 (6.24%). Closing within the prior day's range, prices missed to decisively move beyond the previous day's trading range in a lackluster session.
Daily Candlestick Chart (GGAL as at Mar 26, 2020):
Thursday's trading range has been $0.51 (6.51%), that's far below the last trading month's daily average range of $0.91. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for GGAL.
Two candlestick patterns are matching today's price action, the Northern Doji which is known as bearish pattern and one neutral pattern, the Doji. The last time a Doji showed up on March 5th, GGAL lost -7.35% on the following trading day.
Prices are trading close to the key technical support level at 7.44 (S1).
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the three market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Northern Doji" stand out. Its common bearish interpretation has been confirmed for Grupo Financiero. Out of 71 times, GGAL closed lower 66.20% 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 50.70% with an average market move of -0.95%.