LLY closes within previous day's range
Eli Lilly and Company (LLY) Technical Analysis Report for Oct 12, 2018 | by Techniquant Editorial Team
LLY finished the week -3.95% lower at 110.48 after gaining $2.57 (2.38%) today, outperforming the S&P 500 (1.42%). Closing within the prior day's range, prices missed to decisively move beyond the previous day's trading range.
Daily Candlestick Chart (LLY as at Oct 12, 2018):
Friday's trading range has been $2.59 (2.38%), that's slightly above the last trading month's daily average range of $1.94. Weekly volatility is also higher, being way above the market's average weekly trading range. The longer-term, monthly volatility is currently significantly higher than usual for LLY.
During the whole day, prices traded within the prior day's range, unable to trade above the previous day's high or below the prior day's low forming an Inside Bar. Additionally, one bullish candlestick pattern matches today's price action, the White Candle. The last time a White Candle showed up on October 5th, LLY gained 0.38% on the following trading day.
Lilly (Eli) managed to break above the 20-day moving average at 108.86 today.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the two market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bullish Break through SMA 20" stand out. Its common bullish interpretation has been confirmed for Lilly (Eli). Out of 158 times, LLY closed higher 51.90% 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 59.49% with an average market move of 0.32%.