OKE still stuck within tight trading range
ONEOK Inc. (OKE) Technical Analysis Report for May 22, 2020 | by Techniquant Editorial Team
OKE finished the week 11.76% higher at 36.20 after edging higher $0.18 (0.5%) today on low volume, slightly outperforming the S&P 500 (0.24%) ahead of tomorrow's Memorial Day market holiday. Trading up to $0.74 lower after the open, the market managed to reverse during the session as bulls took control ending the day above its opening price. The last time this happened on Tuesday, OKE gained 3.99% on the following trading day. Closing within the prior day's range, prices missed to decisively move beyond the previous day's trading range in a lackluster session.
Daily Candlestick Chart (OKE as at May 22, 2020):
Friday's trading range has been $1.52 (4.28%), that's below the last trading month's daily average range of $1.85. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for OKE. Prices continued to consolidate within a tight trading range between 34.24 and 37.30 where it has been caught now for the whole last trading week.
Although still in a long-term downtrend, the short and medium-term trends both turned bullish already.
Buying could speed up should prices move above the close-by swing high at 37.30 where further buy stops might get activated. Selling could accelerate should prices move below the nearby swing low at 34.24 where further sell stops might get triggered.
Among the five market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Close near high of period" stand out. Its common bullish interpretation has been confirmed for ONEOK. Out of 637 times, OKE closed higher 53.53% 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 59.50% with an average market move of 0.46%.