KOS ends the day indecisive
Kosmos Energy Ltd. (KOS) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
Moving higher for the 5th day in a row, KOS finished Thursday at 1.01 gaining $0.03 (3.06%), significantly underperforming the S&P 500 (6.24%). Trading $0.12 higher after the open, Kosmos Energy was unable to hold its gains as the bears took control ending the day below its opening price. The last time this happened on March 19th, KOS actually gained 15.09% on the following trading day. Ending the day with an indecisive close, neither buyers nor sellers were able to gain control during the session.
Daily Candlestick Chart (KOS as at Mar 26, 2020):
Thursday's trading range has been $0.25 (24.27%), that's slightly below the last trading month's daily average range of $0.26. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently notably lower than usual for KOS.
Two candlestick patterns are matching today's price action, the Bearish Spinning Top and the Bearish High-Wave Candle which are both known as bearish patterns.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bearish High-Wave Candle" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for Kosmos Energy. Out of 23 times, KOS closed higher 60.87% 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 nine trading days, showing a win rate of 56.52% with an average market move of 1.05%.