OKE breaks back below 20-day moving average
ONEOK Inc. (OKE) Technical Analysis Report for Jul 31, 2020 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, OKE ended the month -15.98% lower at 27.91 after losing $1.13 (-3.89%) today, strongly underperforming the S&P 500 (0.77%). Ending the day with an indecisive close, neither buyers nor sellers were able to gain control during the session.
Daily Candlestick Chart (OKE as at Jul 31, 2020):
Friday's trading range has been $1.33 (4.75%), that's slightly below the last trading month's daily average range of $1.50. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for OKE.
Two candlestick patterns are matching today's price action, the Bullish Hikkake Pattern which is known as bullish pattern and one bearish pattern, the Bearish Spinning Top. The last time a Bearish Spinning Top showed up on July 8th, OKE lost -4.42% on the following trading day.
The market closed back below the 20-day moving average at 28.22.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Buying could speed up should prices move above the nearby swing high at 29.76 where further buy stops might get triggered. Selling could accelerate should prices move below the close-by swing low at 26.70 where further sell stops might get activated. As prices are trading close to July's low at 25.64, downside momentum could speed up should the share mark new lows for the month.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bullish Hikkake Pattern" stand out. Its common bullish interpretation has been confirmed for ONEOK. Out of 100 times, OKE closed higher 58.00% 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 61.00% with an average market move of 0.71%.