RDSA.L falls to lowest close since September 17th
Royal Dutch Shell plc (RDSA.L) Technical Analysis Report for Oct 12, 2018 | by Techniquant Editorial Team
Moving lower for the 3rd day in a row, RDSA.L ended the week -4.62% lower at 2478.00 after losing £7.00 (-0.28%) today on high volume, slightly underperforming the FTSE 100 (-0.16%). Today's close at 2478.00 marks the lowest recorded closing price since September 17th. Closing within the previous day's range, prices failed to decisively move beyond the prior day's trading range.
Daily Candlestick Chart (RDSA.L as at Oct 12, 2018):
Friday's trading range has been £39.00 (1.56%), that's slightly below the last trading month's daily average range of £41.90. Things look different on the weekly timeframe, where the market's trading range of the last week has been way above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for RDSA.L.
One bearish candlestick pattern matches today's price action, the Black Candle.
Prices are trading close to the key technical support level at 2448.50 (S1). Prices are trading close to the key technical resistance level at 2489.50 (R1).
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Further selling might move prices lower should the market test September's close-by low at 2405.50.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Close to S1 Support" stand out. Its common bullish interpretation has been confirmed for RDSA. Out of 1,283 times, RDSA.L closed higher 54.64% 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 52.14% with an average market move of 0.28%.