HBI finds buyers again around 11.13
Hanesbrands Inc. (HBI) Technical Analysis Report for Jun 23, 2020 | by Techniquant Editorial Team
HBI finished Tuesday at 11.27 edging higher $0.04 (0.36%), slightly underperforming the S&P 500 (0.43%). Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range in a lackluster session.
Daily Candlestick Chart (HBI as at Jun 23, 2020):
Tuesday's trading range has been $0.44 (3.85%), that's below the last trading month's daily average range of $0.65. Weekly volatility is also lower, being way below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for HBI.
Prices are trading close to the key technical support level at 11.03 (S1). After having been unable to move lower than 11.07 in the prior session, the stock found buyers again around the same price level today at 11.13. The last time this happened on June 17th, HBI actually lost -0.34% on the following trading day.
Hanesbrands shows weakness in the short-term (in accordance with its long-term downtrend) with only the medium-term trend still being bullish.
Selling might accelerate should prices move below the close-by swing low at 11.07 where further sell stops could get activated.
Among the two market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Low close to previous low" stand out. Its common bullish interpretation has been confirmed for Hanesbrands. Out of 517 times, HBI closed higher 49.71% 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 55.51% with an average market move of 0.70%.