GPT.AX breaks below 200-day moving average
GPT Group (GPT.AX) Technical Analysis Report for Oct 12, 2018 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, GPT.AX ended the week -3.33% lower at 4.93 after tanking $0.07 (-1.4%) today. This is the biggest single-day loss in over three weeks. Today's close at 4.93 marks the lowest recorded closing price since May 22nd.
Daily Candlestick Chart (GPT.AX as at Oct 12, 2018):
Friday's trading range was $0.13 (2.67%), that's far above last trading month's daily average range of $0.06. Weekly volatility is also higher, being way above the markets average with the monthly volatility being way above average.
Crossing below the lower Bollinger Band for the first time since July 24th, prices have reached an unusually low price in the short-term. This could either indicate a potential turning point back up towards the mean of the Bollinger Bands at 5.17 or signal a strong momentum breakout leading to even lower prices.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term. The market broke below the 200-day moving average at 5.00 today for the first time since June 5th. The last time this happened on June 5th, GPT.AX gained 1.01% on the following trading day.
Among the seven market conditions that our engine recognized today, the statistics for the Support/Resistance based condition "Bearish Break through SMA 200" stands out. Though it is usually interpreted being bearish, it has actually shown to be bullish so far in the past for GPT Group. Out of 66 times during the last ten years, GPT.AX closed higher 56.06% of the time on the next trading day. The optimal exit for swing trading this condition on the long side has been after 10 trading days, showing a win rate of 62.12% with an average market move of 1.43%.