NBL pushes through Thursday's high
Noble Energy Inc. (NBL) Technical Analysis Report for May 22, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, NBL ended the week 16.49% higher at 10.10 after gaining $0.06 (0.6%) today on low volume, slightly outperforming the S&P 500 (0.24%) ahead of tomorrow's Memorial Day market holiday. Today's close at 10.10 marks the highest recorded closing price since March 6th. Trading up to $0.42 lower after the open, the stock managed to reverse during the session as bulls took control ending the day above its opening price. Closing above Thursday's high at 10.06, the market confirmed its breakout through the previous session high after trading up to $0.08 above it intraday.
Daily Candlestick Chart (NBL as at May 22, 2020):
Friday's trading range has been $0.61 (6.13%), that's below the last trading month's daily average range of $0.80. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently lower than usual for NBL.
After having been unable to move lower than 9.51 in the prior session, Noble Energy found buyers again around the same price level today at 9.53. The last time this happened on Tuesday, NBL gained 5.53% on the following trading day.
While still in a long-term downtrend, the short and medium-term trends both turned bullish already.
Further buying could move prices higher should the market test April's close-by high at 10.34.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "3 Consecutive Higher Closes" stand out. Its common bullish interpretation has been confirmed for Noble Energy. Out of 135 times, NBL closed higher 51.85% 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 five trading days, showing a win rate of 51.85% with an average market move of 0.01%.