SCHG pushes through Monday's high
Schwab U.S. Large-Cap Growth (SCHG) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, SCHG ended the month 3.8% higher at 101.54 after gaining $1.63 (1.63%) today. The bulls were in full control today, moving the market higher throughout the whole session. Closing above Monday's high at 99.91, Schwab U. S. confirmed its breakout through the prior session high after trading up to $1.99 above it intraday.
Daily Candlestick Chart (SCHG as at Jun 30, 2020):
Tuesday's trading range has been $2.15 (2.15%), that's slightly above the last trading month's daily average range of $1.99. 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 SCHG.
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 100.47. When this moving average was crossed above the last time on June 25th, SCHG actually lost -2.40% on the following trading day. Prices are trading close to the key technical resistance level at 102.32 (R1).
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying could speed up should prices move above the close-by swing high at 103.54 where further buy stops might get triggered.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Decisive Up Move" stand out. Its common bullish interpretation has been confirmed for Schwab U. S.. Out of 435 times, SCHG closed higher 55.63% 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 68.97% with an average market move of 0.71%.