OGE runs into sellers around 33.04 for the forth day in a row
OGE Energy Corp (OGE) Technical Analysis Report for Jul 31, 2020 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, OGE finished the month 8.37% higher at 32.90 after losing $0.09 (-0.27%) today on low volume, notably underperforming the S&P 500 (0.77%). Trading up to $0.68 lower after the open, OGE Energy managed to reverse during the session as bulls took control ending the day above its opening price. Closing within the prior day's range, prices missed to decisively move beyond the previous day's trading range.
Daily Candlestick Chart (OGE as at Jul 31, 2020):
Friday's trading range has been $0.89 (2.71%), that's slightly above the last trading month's daily average range of $0.84. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for OGE. Prices continued to consolidate within a tight trading range between 32.15 and 33.11 where it has been caught now for the whole last trading week.
Two candlestick patterns are matching today's price action, the Bullish Spinning Top which is known as bullish pattern and one bearish pattern, the Hanging Man. The last time a Hanging Man showed up on June 2nd, OGE actually gained 2.55% on the following trading day.
After trading down to 32.15 earlier during the day, the stock bounced off the key technical support level at 32.21 (S1). The failure to close below the support could increase that levels importance as support going forward. Prices are trading close to the key technical resistance level at 33.11 (R1). The share was sold again around 33.04 after having seen highs at 33.11, 33.10 and 32.98 in the last three trading sessions. Obviously there is something going on at that level.
Although still in a long-term downtrend, the short and medium-term trends both turned bullish already.
Buying might speed up should prices move above the close-by swing high at 33.11 where further buy stops could get activated.
Among the 10 market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "High close to prior three Highs" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for OGE Energy. Out of 23 times, OGE closed higher 65.22% of the time on the next trading day after the market condition occurred.