ORI.AX closes above its opening price after recovering from early selling pressure
Orica Ltd (ORI.AX) Technical Analysis Report for Jul 13, 2018
ORI.AX ended the week 0.56% higher at 17.87 after losing A$0.10 (-0.56%) today. Trading up to A$0.14 lower after the open, the share managed to reverse during the session as bulls took control ending the day above its opening price. Closing within the previous day's range, prices failed to decisively move past the prior day's trading range in a lackluster session. Ending the day with an indecisive close, neither buyers nor sellers were able to gain control during the session.
Friday's trading range was A$0.20 (1.12%), that's below last trading month's daily average range of A$0.24. Things look different on a weekly scale, where volatility is slightly below the markets average with the monthly volatility being slightly below average.
Prices are trading close to a key support level at 17.85. After trading as low as 17.70 during the day, the market found support at the 20-day moving average at 17.84.
Although the stock is experiencing a short-term up trend, this could just be a correction, as both the medium and long term trends are still in negative territory.
Buying might speed up should prices move above the nearby swing high at 18.06 where further buy stops could get triggered. Selling might accelerate should prices move below the close-by swing low at 17.69 where further sell stops could get activated. Further buying might move prices higher should the market test June's nearby high at 18.22.
While classical technical analysis indicates a neutral sentiment for the next trading day, our quantitative statistics show a different picture being slightly bearish.