NOV closes lower for the 2nd day in a row
National Oilwell Varco Inc. (NOV) Technical Analysis Report for Feb 14, 2020 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, NOV ended the week -5.33% lower at 22.89 after losing $0.45 (-1.93%) today, notably underperforming the S&P 500 (0.18%) ahead of tomorrow's Presidents' Day market holiday. Closing below Thursday's low at 23.22, the stock confirmed its breakout through the prior session low after trading up to $0.67 below it intraday.
Daily Candlestick Chart (NOV as at Feb 14, 2020):
Friday's trading range has been $0.87 (3.72%), that's above the last trading month's daily average range of $0.66. Things look different on the weekly timeframe, where the market's trading range of the last week has been below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for NOV.
One bearish candlestick pattern matches today's price action, the Black Candle.
After trading as low as 22.55 during the day, the market found support at the 100-day moving average at 22.62. The last time this happened on November 18, 2019, NOV actually lost -2.36% on the following trading day. Prices are trading close to the key technical resistance level at 23.60 (R1).
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bullish Bounce off SMA 100" stand out. Its common bullish interpretation has been confirmed for National Oilwell. Out of 21 times, NOV closed higher 57.14% 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 nine trading days, showing a win rate of 47.62% with an average market move of 0.59%.