XEC falls to lowest close since August 27, 2019
Cimarex Energy Co (XEC) Technical Analysis Report for Feb 14, 2020 | by Techniquant Editorial Team
Moving lower for the 3rd day in a row, XEC finished the week -8.62% lower at 39.35 after losing $0.71 (-1.77%) today, strongly underperforming the S&P 500 (0.18%) ahead of tomorrow's Presidents' Day market holiday. Today's close at 39.35 marks the lowest recorded closing price since August 27, 2019. Closing below Thursday's low at 39.63, Cimarex Energy confirmed its breakout through the prior session low after trading up to $0.57 below it intraday.
Daily Candlestick Chart (XEC as at Feb 14, 2020):
Friday's trading range has been $1.27 (3.16%), that's slightly below the last trading month's daily average range of $1.42. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for XEC.
One bearish candlestick pattern matches today's price action, the Black Candle. The last time a Black Candle showed up on Wednesday, XEC lost -2.03% on the following trading day.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
2019's low at 37.19 is within reach and we might see further downside momentum should the share break out beyond.
Among the three market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "3 Consecutive Lower Closes" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for Cimarex Energy. Out of 158 times, XEC closed higher 55.06% 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 nine trading days, showing a win rate of 56.96% with an average market move of 0.22%.