SYR.AX closes within prior day's range
Syrah Resources (SYR.AX) Technical Analysis Report for Oct 12, 2018 | by Techniquant Editorial Team
Moving lower for the 5th day in a row, SYR.AX ended the week -13.89% lower at 1.86 after losing $0.05 (-2.62%) today on high volume, notably underperforming the market (ASX 200, 0.2%). Today's close at 1.86 marks the lowest recorded closing price since June 27, 2013. Closing within the prior day's range, prices failed to decisively move beyond the previous 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 (SYR.AX as at Oct 12, 2018):
Friday's trading range was $0.10 (5.38%), that's slightly below last trading month's daily average range of $0.11. Things look different on a weekly scale, where volatility is way above the markets average with the monthly volatility being above average.
Three candlestick patterns are matching today's price action, the Southern Doji and the Takuri Line which are both known as bullish patterns and one neutral pattern, the Doji.
With another close below the lower Bollinger Band, prices are confirming their strong downward momentum in the short-term. A rally back into the Bollinger Band on the next trading day while might signal a potential change in momentum that could lead to a correction back up towards the center of the Bollinger Bands at 2.20.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the seven market conditions that our engine recognized today, the statistics for the OHLC Patterns based condition "Southern Doji" stands out. It's common interpretation of being bullish has so far been confirmed for Syrah Resources in the past. Out of 41 times during the last ten years, SYR.AX closed higher 53.66% of the time on the next trading day. The optimal exit for swing trading this condition on the long side has been after 10 trading days, showing a win rate of 65.85% with an average market move of 11.40%.