RIO.AX closes below its opening price unable to hold early session gains
Rio Tinto Ltd (RIO.AX) Technical Analysis Report for Apr 17, 2018 | by Techniquant Editorial Team
RIO.AX finished Tuesday at 77.96 losing A$0.25 (-0.32%). Trading A$0.84 higher after the open, Rio Tinto was unable to hold its gains as the bears took control ending the day below its opening price. Closing within the previous day's range, prices failed to decisively move past the prior day's trading range. Ending the day with an indecisive close, neither buyers nor sellers were able to gain control during the session.
Daily Candlestick Chart (RIO.AX as at Apr 17, 2018):
Tuesday's trading range was A$1.87 (2.38%), that's far above last trading month's daily average range of A$1.17. Weekly volatility is also higher, being way above the markets average with the monthly volatility being above average.
Prices are trading close to a key support level at 77.13. Unable to break through the key technical resistance level at 78.64, the market closed below it after spiking as high as 79.30 during the day. The failure to close above the resistance might increase that levels importance as resistance going forward. After having been unable to move lower than 77.40 in the previous session, the stock found buyers again around the same price level today at 77.43.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
With prices trading close to this year's high at 79.40, upside momentum could accelerate should the share be able to break out to new highs for the year.