NXPI runs into sellers again around 139.59
NXP Semiconductors N.V. (NXPI) Technical Analysis Report for Feb 14, 2020 | by Techniquant Editorial Team
NXPI ended the week 3.64% higher at 137.08 after losing $1.61 (-1.16%) today, significantly underperforming the S&P 500 (0.18%) ahead of tomorrow's Presidents' Day market holiday. Closing within the previous day's range, prices missed to decisively move beyond the prior day's trading range.
Daily Candlestick Chart (NXPI as at Feb 14, 2020):
Friday's trading range has been $4.90 (3.53%), that's far above the last trading month's daily average range of $3.40. 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 NXPI. Prices continued to consolidate within a tight trading range between 134.69 and 139.59 where it has been caught now for the last three trading days.
In a volatile session, prices traded above the previous day's high as well as below the prior day's low, forming a bearish Outside Bar.
After trading down to 134.69 earlier during the day, the share bounced off the key technical support level at 134.77 (S1). The failure to close below the support might increase that levels importance as support going forward. When prices bounced off a significant support level the last time on January 30th, NXPI actually lost -3.62% on the following trading day. After having been unable to move above 139.26 in the previous session, NXP Semiconductors ran into sellers again around the same price level today, missing to move higher than 139.59.
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 OHLC Patterns based market condition "Bearish Outside Bar" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for NXP Semiconductors. Out of 119 times, NXPI closed higher 57.98% 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 63.87% with an average market move of 3.13%.