MLCO falls to lowest close since July 8, 2016
Melco Resorts & Entertainment Limited (MLCO) Technical Analysis Report for Mar 27, 2020 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, MLCO ended the week -8.92% lower at 12.26 after losing $1.18 (-8.78%) today, strongly underperforming the S&P 500 (-3.37%). Today's close at 12.26 marks the lowest recorded closing price since July 8, 2016.
Daily Candlestick Chart (MLCO as at Mar 27, 2020):
Friday's trading range has been $1.00 (7.86%), that's below the last trading month's daily average range of $1.38. Things look different on the weekly timeframe, where the market's trading range of the last week has been above the market's average weekly trading range. The longer-term, monthly volatility is currently lower than usual for MLCO.
Prices are trading close to the key technical support level at 11.83 (S1).
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Selling might accelerate should prices move below the close-by swing low at 11.83 where further sell stops could get activated.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the Technical Indicators based market condition "RSI(2) below 20" stand out. Its common bullish interpretation has been confirmed for Melco Resorts. Out of 265 times, MLCO closed higher 50.57% 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 54.72% with an average market move of 1.69%.