RIO.L climbs to highest close since June 14, 2018
Rio Tinto Group (RIO.L) Technical Analysis Report for Feb 13, 2019 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, RIO.L finished Wednesday at 4354.50 gaining £60.00 (1.4%), outperforming the FTSE 100 (0.81%). Today's close at 4354.50 marks the highest recorded closing price since June 14, 2018. Closing above Tuesday's high at 4331.00, the share confirmed its breakout through the prior session high after trading up to £47.50 above it intraday.
Daily Candlestick Chart (RIO.L as at Feb 13, 2019):
Wednesday's trading range has been £86.00 (2.0%), that's slightly above the last trading month's daily average range of £78.35. Things look different on the weekly timeframe, where the market's trading range of the last week has been way below the market's average weekly trading range. The longer-term, monthly volatility is currently significantly higher than usual for RIO.L.
One bullish candlestick pattern matches today's price action, the White Candle. The last time a White Candle showed up on February 4th, RIO.L gained 0.84% on the following trading day.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Selling might speed up should prices move below the nearby swing low at 4268.50 where further sell stops could get triggered.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "White Candle" stand out. Its common bullish interpretation has been confirmed for Rio Tinto. Out of 509 times, RIO.L closed higher 54.42% 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 52.85% with an average market move of 0.75%.