IVW dominated by bulls lifting the market higher throughout the day
iShares S&P 500 Growth ETF (IVW) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, IVW finished the month 3.84% higher at 207.49 after gaining $3.40 (1.67%) today. The bulls were in full control today, moving the market higher throughout the whole session. Closing above Monday's high at 204.15, the ETF confirmed its breakout through the prior session high after trading up to $4.18 above it intraday.
Daily Candlestick Chart (IVW as at Jun 30, 2020):
Tuesday's trading range has been $4.46 (2.19%), that's slightly above the last trading month's daily average range of $3.97. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for IVW.
One bullish candlestick pattern matches today's price action, the White Candle.
The market managed to close back above the 20-day moving average at 205.50. Unable to break through the key technical resistance level at 208.10 (R1), IVW closed below it after spiking up to 208.33 earlier during the day. The failure to close above the resistance might increase that levels significance going forward. When prices bounced off a significant resistance level the last time on April 17th, IVW lost -1.54% on the following trading day.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying could accelerate should prices move above the close-by swing high at 211.44 where further buy stops might get triggered. With prices trading close to this year's high at 211.50, upside momentum could speed up should the ETF be able to break out to new highs for the year.
Among the nine market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "2 Consecutive Higher Closes" stand out. Its common bullish interpretation has been confirmed for IVW. Out of 341 times, IVW closed higher 58.94% 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 68.04% with an average market move of 0.55%.