forget about candlesticks with a trust like MVO. The simple explanation is this is a low volume trading security, and one fund manager selling his position likely drove the price down. The selling is likely over now.
Agree. Same thing happened about a year ago, someone dumped 200,000 shares on the market and MVO tanked. The market for MVO just isn't that big and when big positions liquidate, look out below. It's one of the problems with small caps, and also one of the benefits. Large liquidations give people a chance to buy at discounts.
Technical analysis becomes a self-fulfilling prophecy. The only problem with it is sometimes external events overtake the technical analysis. MVO has a history of selling off after ex-div and this time is no different. It was compounded by other external factors including: smaller dividend than expected by some, momentum players pulling out which also caused, stop-loss waterfall effect. Add to this the fact that MVO was getting ahead of itself trading at levels it shouldn't have been at. Momentum players pushed it up. Another example of this effect would be MSB, it peaked at $54 and pulled back to $36, strictly on momentum. MVO should trade based on yield and right now its right about where it should be. 7% yield.