HPI - Following move below Lower Bollinger Band (20-DMA, 3 SDs)

Hotel Property Investments is down more than -10% over the past 5-days. As always, catching a falling knife is fraught with danger. However, since listing, HPI has only traded below its Lower Bollinger Band (20-DMA, 3 SDs) on 5 previous occasions, delivering a forward 19-day average return of 7.3%.

It is also rare for a stock to trade below its Lower Bollinger Band (20-DMA, 3 SDs) & remain above its 200-day moving average. Of the 5 events in the Snapshot below, 4 of these events were triggered when trading above the 200-day moving average. In this market context, returns over the 19-day interval improved to an average gain of 8.76%.

Interestingly, the last event occurred in the past 6-months & delivered a 19-day return of 8.24%.

In the case of HPI, fortune has historically favoured the brave.

Disclaimer: This data is not financial advice. Past performance is not a guide to future performance and may not be repeated. Past performance does not diminish the risk expectancy of any strategy. By its very nature ‘risk’ means you could and most likely will experience losses. No representation or warranty is given as to the accuracy or completeness of any information provided. Data is for educational and informational purposes only.

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