SLB breaks below 20-day moving average for the first time since June 14th
Schlumberger N.V. (SLB) Technical Analysis Report for Jul 17, 2019 | by Techniquant Editorial Team
Moving lower for the 4th day in a row, SLB finished Wednesday at 38.63 tanking $1.44 (-3.59%) on high volume, notably underperforming the S&P 500 (-0.65%). This is the biggest single-day loss in over two months. The last time we've seen such an unusually strong single-day loss on April 24th, SLB lost -2.12% on the following trading day. Today's close at 38.63 marks the lowest recorded closing price since June 25th. The bears were in full control today, moving the market lower throughout the whole session. Ending with a weak close near the low of the day sets a bearish note for the next session.
Daily Candlestick Chart (SLB as at Jul 17, 2019):
Wednesday's trading range has been $1.50 (3.77%), that's far above the last trading month's daily average range of $0.81. Weekly volatility is also higher, being above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for SLB.
One bearish candlestick pattern matches today's price action, the Black Candle.
Schlumberger N. V. closed below the 20-day moving average at 39.40 for the first time since June 14th.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the nine market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bounced off Technical Resistance R1" stand out. Its common bearish interpretation has been confirmed for Schlumberger N. V.. Out of 394 times, SLB closed lower 57.36% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the short side has been after two trading days, showing a win rate of 54.82% with an average market move of -0.11%.