LLY declines to lowest close since December 24, 2018
Eli Lilly and Company (LLY) Technical Analysis Report for Jul 11, 2019 | by Techniquant Editorial Team
LLY ended Thursday at 109.79 tanking $4.74 (-4.14%) on high volume, strongly underperforming the S&P 500 (0.23%). This is the biggest single-day loss in over nine months. Today's close at 109.79 marks the lowest recorded closing price since December 24, 2018.
Daily Candlestick Chart (LLY as at Jul 11, 2019):
Thursday's trading range has been $3.14 (2.82%), that's far above the last trading month's daily average range of $2.03. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for LLY.
One bearish candlestick pattern matches today's price action, the Black Candle. The last time a Black Candle showed up on Monday, LLY actually gained 1.40% on the following trading day.
Eli Lilly closed back below the 20-day moving average at 113.28.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Black Candle" stand out. Although it is usually interpreted as bearish, it has actually shown to be bullish for Eli Lilly. Out of 515 times, LLY closed higher 54.95% 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 61.17% with an average market move of 0.83%.