LILAK closes above its opening price after recovering from early selling pressure
Liberty Latin America Ltd. (LILAK) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, LILAK ended the month -1.67% lower at 9.44 after gaining $0.14 (1.51%) today, slightly underperforming the S&P 500 (1.54%). Trading up to $0.15 lower after the open, Liberty Latin managed to reverse during the session as bulls took control ending the day above its opening price. Closing above Monday's high at 9.30, the share confirmed its breakout through the previous session high after trading up to $0.18 above it intraday.
Daily Candlestick Chart (LILAK as at Jun 30, 2020):
Tuesday's trading range has been $0.39 (4.22%), that's below the last trading month's daily average range of $0.49. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for LILAK.
Two candlestick patterns are matching today's price action, the White Candle which is known as bullish pattern and one bearish pattern, the Bearish Hikkake Pattern. The last time a White Candle showed up on June 18th, LILAK actually lost -1.50% on the following trading day.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Buying might speed up should prices move above the nearby swing high at 9.98 where further buy stops could get triggered. Selling might accelerate should prices move below the close-by swing low at 8.90 where further sell stops could get activated.
Among the nine market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bearish Hikkake Pattern" stand out. Although it is usually interpreted as bearish, it has actually shown to be bullish for Liberty Latin. Out of 36 times, LILAK closed higher 58.33% 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 55.56% with an average market move of 0.37%.