IPL.AX runs into sellers around 3.56 for the third day in a row
Incitec Pivot (IPL.AX) Technical Analysis Report for May 17, 2018 | by Techniquant Editorial Team
IPL.AX finished Thursday at 3.56 gaining A$0.01 (0.28%) on low volume. Today's closing price of 3.56 marks the highest close since May 10th. Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range in a lackluster session. Ending with a strong close near the high of the day sets a bullish note for the next session.
Daily Candlestick Chart (IPL.AX as at May 17, 2018):
Thursday's trading range was A$0.03 (0.84%), that's far below last trading month's daily average range of A$0.08. Things look different on a weekly scale, where volatility is way below the markets average with the monthly volatility being slightly above average. Prices continued to consolidate within a tight trading range between 3.47 and 3.57 which it has been in now for the last trading week.
After trading as low as 3.53 during the day, the market bounced off the key support level at 3.54. The failure to close below the support could increase that levels importance as support going forward. The share ran into sellers again today around 3.56 for the third trading day in a row after having found sellers at 3.57 in the prior session and at 3.57 two days ago.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.