TAP slides to lowest close since April 25, 2014
Molson Coors Brewing Company Class B (TAP) Technical Analysis Report for Oct 12, 2018 | by Techniquant Editorial Team
Moving lower for the 4th day in a row, TAP ended the week -4.14% lower at 59.33 after losing $0.26 (-0.44%) today on low volume, significantly underperforming the S&P 500 (1.42%). Today's close at 59.33 marks the lowest recorded closing price since April 25, 2014. Closing below Thursday's low at 59.52, Molson Coors confirmed its breakout through the prior session low after trading up to $0.72 below it intraday.
Daily Candlestick Chart (TAP as at Oct 12, 2018):
Friday's trading range has been $1.39 (2.32%), that's slightly above the last trading month's daily average range of $1.28. Weekly volatility is also higher, being way above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for TAP.
Crossing above the lower Bollinger Band, prices have lost at least some of their downward momentum in the short-term and might now be heading back up towards the mean of the Bollinger Bands at 62.22. The last time this happened on September 12th, TAP gained 0.63% on the following trading day.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
With prices trading close to this year's low at 58.75, downside momentum could accelerate should the stock break out to new lows for the year.
Among the three market conditions that our pattern recognition engine identified today, the statistics for the Technical Indicators based market condition "Close crossed above the lower Bollinger Band" stand out. Its common bullish interpretation has been confirmed for Molson Coors. Out of 74 times, TAP closed higher 62.16% 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 70.27% with an average market move of 1.11%.