SLB closes within prior day's range after lackluster session
Schlumberger N.V. (SLB) Technical Analysis Report for Jul 13, 2020 | by Techniquant Editorial Team
SLB ended Monday at 17.38 losing $0.41 (-2.3%), strongly underperforming the S&P 500 (-0.94%). 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 in a lackluster session.
Daily Candlestick Chart (SLB as at Jul 13, 2020):
Monday's trading range has been $0.65 (3.61%), that's below the last trading month's daily average range of $0.96. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently lower than usual for SLB.
Two candlestick patterns are matching today's price action, the Bearish Short Candle and the Black Candle which are both known as bearish patterns. The last time a Black Candle showed up on July 9th, SLB actually gained 3.85% on the following trading day.
Schlumberger N. V. shows weakness in the short-term (in accordance with its long-term downtrend) with only the medium-term trend still being bullish.
Selling could speed up should prices move below the nearby swing low at 16.96 where further sell stops might get activated.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bearish Short Candle" stand out. Although it is usually interpreted as bearish, it has actually shown to be bullish for Schlumberger N. V.. Out of 70 times, SLB closed higher 58.57% 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 eight trading days, showing a win rate of 58.57% with an average market move of 0.96%.