HST closes higher for the 6th day in a row
Host Hotels & Resorts Inc. (HST) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
Moving higher for the 6th day in a row, HST ended Thursday at 12.46 gaining $0.32 (2.64%), significantly underperforming the S&P 500 (6.24%). Closing above Wednesday's high at 12.44, the market confirmed its breakout through the previous session high after trading up to $1.34 above it intraday.
Daily Candlestick Chart (HST as at Mar 26, 2020):
Thursday's trading range has been $1.79 (14.49%), that's above the last trading month's daily average range of $1.34. Weekly volatility is also higher, being above the market's average weekly trading range. The longer-term, monthly volatility is currently higher than usual for HST.
Two candlestick patterns are matching today's price action, the Bullish Spinning Top which is known as bullish pattern and one bearish pattern, the Shooting Star. The last time a Bullish Spinning Top showed up on Monday, HST gained 4.03% on the following trading day.
Prices are trading close to the key technical support level at 11.42 (S1).
Although the share is experiencing a short-term uptrend, this might just be a correction, as both the medium and long-term trends are still bearish.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "6 Consecutive Higher Closes" stand out. While it is usually interpreted as bullish, it has actually shown to be bearish for Host Hotels. Out of 21 times, HST closed lower 57.14% 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 66.67% with an average market move of -1.71%.