HAL finds buyers at key support level
Halliburton Company (HAL) Technical Analysis Report for Apr 22, 2019 | by Techniquant Editorial Team
Moving lower for the 3rd day in a row, HAL finished Monday at 31.09 edging lower $0.04 (-0.13%) on high volume, slightly underperforming the S&P 500 (0.1%) following today's earnings report.
Daily Candlestick Chart (HAL as at Apr 22, 2019):
HAL reported earnings of $0.23 per share before today's market open. With analysts having expected an EPS of $0.23, Halliburton Company hit market expectations. The company's last earnings report was released on Jan. 22, 2019, when Halliburton Company reported earnings of $0.41 per share beating market expectations by 10.8%.
Monday's trading range has been $1.48 (4.65%), that's far above the last trading month's daily average range of $0.75. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for HAL.
After trading down to 30.61 earlier during the day, the share bounced off the key technical support level at 30.89 (S1). The failure to close below the support might increase that levels importance as support going forward. When prices bounced off a significant support level the last time on April 9th, HAL gained 0.75% on the following trading day.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
With prices trading close to this year's high at 32.71, upside momentum could speed up should the stock be able to break out to new highs for the year.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the Stock Earning Report based market condition "Trading Day post Earnings Report" stand out. Although it is usually interpreted as neutral, it has actually shown to be bullish for Halliburton. Out of 26 times, HAL closed higher 61.54% 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 57.69% with an average market move of 0.86%.