TPM.AX dominated by bulls lifting the market higher throughout the day
TPG Telecom Limited (TPM.AX) Technical Analysis Report for Nov 09, 2018 | by Techniquant Editorial Team
TPM.AX finished the week -0.53% lower at 7.48 after gaining $0.07 (0.94%) today on low volume, notably outperforming the ASX 200 (-0.11%). The bulls were in full control today, moving the market higher 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 (TPM.AX as at Nov 09, 2018):
Friday's trading range has been $0.15 (2.04%), that's far below the last trading month's daily average range of $0.28. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for TPM.AX.
Four candlestick patterns are matching today's price action, the Bullish Hikkake Pattern, the Bullish Short Candle and the White Candle which are known as bullish patterns and one bearish pattern, the Thrusting Pattern.
Prices are trading close to the key technical support level at 7.39 (S1). TPG Telecom found buyers again today around 7.35 for the third trading day in a row after having found demand at 7.37 in the previous session and at 7.36 two days ago. The last time this happened on October 30th, TPM.AX actually lost -5.66% on the following trading day.
The stock shows strength in the short-term supported by its long-term uptrend with only the medium-term trend being bearish.
Among the nine market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Thrusting Pattern" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for TPG Telecom. Out of 7 times, TPM.AX closed higher 71.43% 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 42.86% with an average market move of 0.78%.