R falls to lowest close since October 3, 2012
Ryder System Inc. (R) Technical Analysis Report for Feb 14, 2020 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, R ended the week -19.84% lower at 40.12 after tanking $4.89 (-10.86%) today on high volume, notably underperforming the Dow Comp. (-0.19%). Today's close at 40.12 marks the lowest recorded closing price since October 3, 2012. The bears were in full control today, moving the market lower throughout the whole session. Ending with a weak close near the low of the day sets a bearish note for the next session.
Daily Candlestick Chart (R as at Feb 14, 2020):
Friday's trading range has been $4.83 (10.93%), that's far above the last trading month's daily average range of $1.51. Weekly volatility is also higher, being way above the market's average weekly trading range. The longer-term, monthly volatility is currently significantly higher than usual for R.
One bearish candlestick pattern matches today's price action, the Black Candle. The last time a Black Candle showed up on Monday, R actually gained 1.68% on the following trading day.
With another close below the lower Bollinger Band, prices are confirming their strong downward momentum in the short-term. A rally back into the Bollinger Band on the next trading day although could signal a potential change in momentum that might lead to a correction back up towards the center of the Bollinger Bands at 49.84.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the 10 market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Black Candle" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for Ryder System. Out of 541 times, R closed higher 54.53% 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 54.34% with an average market move of 0.41%.