HCP declines to lowest close since June 21st
HCP Inc. (HCP) Technical Analysis Report for Oct 12, 2018 | by Techniquant Editorial Team
Moving lower for the 3rd day in a row, HCP finished the week -1.94% lower at 24.71 after losing $0.10 (-0.4%) today on high volume, strongly underperforming the S&P 500 (1.42%). Today's close at 24.71 marks the lowest recorded closing price since June 21st. Closing below Thursday's low at 24.80, the market confirmed its breakout through the prior session low after trading up to $0.33 below it intraday.
Daily Candlestick Chart (HCP as at Oct 12, 2018):
Friday's trading range has been $0.53 (2.12%), that's slightly above the last trading month's daily average range of $0.49. Weekly volatility is also higher, being way above the market's average weekly trading range. The longer-term, monthly volatility is currently higher than usual for HCP.
One bearish candlestick pattern matches today's price action, the Black Candle.
Prices are trading close to the key technical resistance level at 24.93 (R1).
With another close below the lower Bollinger Band, prices are confirming their strong downward momentum in the short-term. A rally back into the Bollinger Band on the next trading day although could signal a potential change in momentum that might lead to a correction back up towards the center of the Bollinger Bands at 25.76.
While still in a long-term uptrend, the short and medium-term trends both turned bearish already.
Among the five market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "3 Consecutive Lower Closes" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for HCP Inc.. Out of 125 times, HCP closed higher 56.00% of the time on the next trading day after the market condition occurred.