OGE finds buyers at key support level
OGE Energy Corp (OGE) Technical Analysis Report for Sep 16, 2020 | by Techniquant Editorial Team
OGE finished Wednesday at 29.73 gaining $0.25 (0.85%) on high volume, notably outperforming the S&P 500 (-0.46%). Closing within the previous day's range, prices missed to decisively move beyond the prior day's trading range.
Daily Candlestick Chart (OGE as at Sep 16, 2020):
Wednesday's trading range has been $0.68 (2.31%), that's slightly below the last trading month's daily average range of $0.74. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for OGE.
After trading down to 29.33 earlier during the day, the market bounced off the key technical support level at 29.44 (S1). The failure to close below the support could increase that levels importance as support going forward. After having been unable to move lower than 29.37 in the previous session, the stock found buyers again around the same price level today at 29.33.
Crossing above the lower Bollinger Band, prices have lost at least some of their downward momentum in the short-term and might now be heading back up towards the mean of the Bollinger Bands at 31.32. The last time this happened on Monday, OGE actually lost -2.48% on the following trading day.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the three market conditions that our pattern recognition engine identified today, the statistics for the Technical Indicators based market condition "Close crossed above the lower Bollinger Band" stand out. Its common bullish interpretation has been confirmed for OGE Energy. Out of 72 times, OGE closed higher 52.78% 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 59.72% with an average market move of 0.94%.