MDLZ closes lower for the 4th day in a row
Mondelez International Inc. (MDLZ) Technical Analysis Report for Jun 24, 2020 | by Techniquant Editorial Team
Moving lower for the 4th day in a row, MDLZ finished Wednesday at 50.64 losing $1.28 (-2.47%), slightly underperforming the Nasdaq 100 (-2.03%). The bears were in full control today, moving the market lower throughout the whole session.
Daily Candlestick Chart (MDLZ as at Jun 24, 2020):
Wednesday's trading range has been $1.31 (2.54%), that's slightly above the last trading month's daily average range of $1.13. 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 MDLZ.
One bearish candlestick pattern matches today's price action, the Black Candle.
The share closed back below the 50-day moving average at 51.38 for the first time since June 15th. When this moving average was crossed below the last time on June 11th, MDLZ actually gained 0.40% on the following trading day.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Further selling could move prices lower should the market test May's close-by low at 48.77.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Gap Down" stand out. While it is usually interpreted as bearish, it has actually shown to be bullish for Mondelez International. Out of 65 times, MDLZ closed higher 60.00% 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 69.23% with an average market move of 1.06%.