PM ends the day indecisive
Philip Morris International Inc (PM) Technical Analysis Report for Jul 31, 2020 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, PM ended the month 9.63% higher at 76.81 after losing $0.64 (-0.83%) today, notably underperforming the S&P 500 (0.77%). Trading up to $0.65 lower after the open, the share managed to reverse during the session as bulls took control ending the day above its opening price. Ending the day with an indecisive close, neither buyers nor sellers were able to gain control during the session.
Daily Candlestick Chart (PM as at Jul 31, 2020):
Friday's trading range has been $1.30 (1.69%), that's below the last trading month's daily average range of $1.78. 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 PM.
Four candlestick patterns are matching today's price action, the Bullish Hikkake Pattern which is known as bullish pattern and three neutral patterns, the Doji, the Long-Legged Doji and the Rickshaw-Man. The last time a Bullish Hikkake Pattern showed up on June 10th, PM actually lost -5.18% on the following trading day.
Prices are trading close to the key technical support level at 75.80 (S1). Prices are trading close to the key technical resistance level at 77.45 (R1).
While still in a long-term downtrend, the short and medium-term trends both turned bullish already.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Doji" stand out. Though it is usually interpreted as neutral, it has actually shown to be bullish for Philip Morris. Out of 108 times, PM closed higher 59.26% 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 57.41% with an average market move of 0.75%.