IFF finds buyers again around 124.14
Internationa Flavors & Fragrances Inc. (IFF) Technical Analysis Report for Sep 16, 2020 | by Techniquant Editorial Team
IFF finished Wednesday at 124.24 flat, slightly outperforming the S&P 500 (-0.46%). Trading $1.62 higher after the open, the market was unable to hold its gains as the bears took control ending the day below its opening price. Closing within the prior day's range, prices missed to decisively move beyond the previous day's trading range in a lackluster session.
Daily Candlestick Chart (IFF as at Sep 16, 2020):
Wednesday's trading range has been $1.86 (1.5%), that's below the last trading month's daily average range of $2.44. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for IFF.
One bearish candlestick pattern matches today's price action, the Shooting Star.
Prices are trading close to the key technical support level at 122.85 (S1). After spiking up to 126.00 during the day, the share found resistance at the 200-day moving average at 125.94. After having been unable to move lower than 123.80 in the prior session, the stock found buyers again around the same price level today at 124.14. The last time this happened on September 4th, IFF actually lost -1.21% on the following trading day.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
As prices are trading close to September's high at 126.54, upside momentum might speed up should Internationa Flavors mark new highs for the month.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Shooting Star" stand out. Although it is usually interpreted as bearish, it has actually shown to be bullish for Internationa Flavors. Out of 47 times, IFF closed higher 59.57% 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 63.83% with an average market move of 1.23%.