RDS-B closes above its opening price after recovering from early selling pressure
Royal Dutch Shell PLC American Depositary Shares (RDS-B) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
RDS-B ended the month 0.03% higher at 30.45 after losing $0.89 (-2.84%) today on high volume, significantly underperforming the S&P 500 (1.54%). Today's close at 30.45 marks the lowest recorded closing price since May 29th. Trading up to $0.34 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 (RDS-B as at Jun 30, 2020):
Tuesday's trading range has been $0.72 (2.38%), that's below the last trading month's daily average range of $0.95. 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 RDS-B.
Two candlestick patterns are matching today's price action, the Bullish Hikkake Pattern and the Bullish Spinning Top which are both known as bullish patterns. The last time a Bullish Spinning Top showed up on June 2nd, RDS-B gained 4.65% on the following trading day.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the four 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 Royal Dutch. Out of 72 times, RDS-B closed higher 56.94% 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 eight trading days, showing a win rate of 54.17% with an average market move of 0.14%.