NG..L closes above its opening price after recovering from early selling pressure
National Grid plc (NG.L) Technical Analysis Report for Jun 14, 2018 | by Techniquant Editorial Team
NG.. L ended Thursday at 834.30 gaining £2.70 (0.32%) on high volume. Trading up to £6.30 lower after the open, the stock managed to reverse during the session as bulls took control ending the day above its opening price. Closing within the previous day's range, prices failed to decisively move beyond the prior day's trading range. Ending with a strong close near the high of the day sets a bullish note for the next session.
Daily Candlestick Chart (NG.L as at Jun 14, 2018):
Thursday's trading range was £15.70 (1.9%), that's slightly above last trading month's daily average range of £13.84. Things look different on a weekly scale, where volatility is way below the markets average with the monthly volatility being slightly below average. Prices continued to consolidate within a tight trading range between 821.00 and 839.10 which it has been in now for the last trading week.
Unable to break through the key technical resistance level at 834.70, the market closed below it after spiking as high as 837.40 during the day. The failure to close above the resistance could increase that levels importance as resistance going forward. National Grid ran into sellers again today around 837.40 for the third trading day in a row after having found sellers at 837.40 in the previous session and at 839.10 two days ago.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying might speed up should prices move above the close-by swing high at 839.10 where further buy stops could get activated. Selling might accelerate should prices move below the nearby swing low at 821.00 where further sell stops could get triggered. As prices are trading close to June's high at 849.30, upside momentum might speed up should the share mark new highs for the month.