MYL closes within previous day's range
Mylan N.V. (MYL) Technical Analysis Report for Feb 14, 2020 | by Techniquant Editorial Team
MYL ended the week -3.82% lower at 21.90 after gaining $0.26 (1.2%) today on low volume, outperforming the Nasdaq 100 (0.29%) ahead of tomorrow's Presidents' Day market holiday. Trading up to $0.24 lower after the open, the share managed to reverse during the session as bulls took control ending the day above its opening price. The last time this happened on January 30th, MYL actually lost -2.28% on the following trading day. Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range.
Daily Candlestick Chart (MYL as at Feb 14, 2020):
Friday's trading range has been $0.60 (2.76%), that's slightly below the last trading month's daily average range of $0.61. 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 slightly lower than usual for MYL.
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. After moving lower in the previous session, the market managed to close higher but below the prior day's open, forming a bullish Harami Candle. Additionally, one bullish candlestick pattern matches today's price action, the Bullish Spinning Top.
Prices are trading close to the key technical support level at 21.39 (S1). After having been unable to move above 22.15 in the previous session, Mylan N. V. ran into sellers again around the same price level today, failing to move higher than 22.09.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Selling might accelerate should prices move below the nearby swing low at 21.29 where further sell stops could get activated.
Among the five market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "High close to prior High" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for Mylan N. V.. Out of 628 times, MYL closed higher 51.27% 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 55.89% with an average market move of 0.61%.