NBL rockets, gaining $0.30 (3.33%) within a single day
Noble Energy Inc. (NBL) Technical Analysis Report for Sep 16, 2020 | by Techniquant Editorial Team
NBL ended Wednesday at 9.32 surging $0.30 (3.33%), significantly outperforming the S&P 500 (-0.46%). This is the biggest single-day gain in over three weeks. Closing above Tuesday's high at 9.31, Noble Energy confirmed its breakout through the previous session high after trading up to $0.15 above it intraday.
Daily Candlestick Chart (NBL as at Sep 16, 2020):
Wednesday's trading range has been $0.46 (5.08%), that's far above the last trading month's daily average range of $0.25. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for NBL.
One bullish candlestick pattern matches today's price action, the White Candle. The last time a White Candle showed up on August 24th, NBL actually lost -1.35% on the following trading day.
Unable to break through the key technical resistance level at 9.38 (R1), the market closed below it after spiking up to 9.46 earlier during the day. The failure to close above the resistance could increase that levels significance going forward. After having been unable to move lower than 8.98 in the prior session, the share found buyers again around the same price level today at 9.00.
Though the stock is currently in a short-term downtrend, this might just be a correction, as both the medium and long-term trends are still bullish.
Selling could accelerate should prices move below the nearby swing low at 8.98 where further sell stops might get activated.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bounced off Technical Resistance R1" stand out. Its common bearish interpretation has been confirmed for Noble Energy. Out of 406 times, NBL closed lower 60.10% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the short side has been after 10 trading days, showing a win rate of 50.99% with an average market move of -1.04%.