RRS.L dominated by bears dragging the market lower throughout the day
Randgold Resources (RRS.L) Technical Analysis Report for Aug 10, 2018 | by Techniquant Editorial Team
RRS.L finished the week -3.67% lower at 5404.00 after tanking £194.00 (-3.47%) today on high volume. This is the biggest single day loss in over a month. Today's closing price of 5404.00 marks the lowest close since February 5, 2016. The bears were in full control today, moving the market lower throughout the whole session. Closing within the previous day's range, prices failed to decisively move beyond the prior day's trading range. Ending with a weak close near the low of the day sets a bearish note for the next session.
Daily Candlestick Chart (RRS.L as at Aug 10, 2018):
Friday's trading range was £206.00 (3.7%), that's far above last trading month's daily average range of £116.20. Weekly volatility is also higher, being above the markets average with the monthly volatility being slightly below average.
During the whole day, prices traded within the previous day's range, unable to trade above the prior day's high or below the previous day's low forming an Inside Bar.
Breaking below the key support level at 5484.00 today, it is now likely to act as resistance going forward.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term. The stock broke below the 20-day moving average at 5534.12 today for the first time since August 6th.
Selling could speed up should prices move below the close-by swing low at 5320.00 where further sell stops might get triggered.