XEL runs into sellers again around 63.17
Xcel Energy Inc. (XEL) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, XEL finished the month -3.89% lower at 62.50 after edging higher $0.04 (0.06%) today, strongly underperforming the S&P 500 (1.54%). Trading $0.51 higher after the open, the stock was unable to hold its gains as the bears took control ending the day below its opening price. 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 (XEL as at Jun 30, 2020):
Tuesday's trading range has been $0.92 (1.47%), that's far below the last trading month's daily average range of $1.78. 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 XEL.
Three candlestick patterns are matching today's price action, the Homing Pigeon which is known as bullish pattern and two bearish patterns, the Bearish Hikkake Pattern and the Bearish Spinning Top.
After spiking up to 63.17 during the day, Xcel Energy found resistance at the 50-day moving average at 63.07. The last time this happened on March 16th, XEL actually gained 11.26% on the following trading day. After having been unable to move above 63.00 in the previous session, the share ran into sellers again around the same price level today, missing to move higher than 63.17.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Selling might accelerate should prices move below the close-by swing low at 61.58 where further sell stops could get activated.
Among the nine market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Bearish Intraday Reversal" stand out. Although it is usually interpreted as bearish, it has actually shown to be bullish for Xcel Energy. Out of 349 times, XEL closed higher 62.75% 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 65.90% with an average market move of 0.80%.