IXIC pushes through key technical resistance level
Nasdaq Composite Index (IXIC) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, IXIC ended the month 5.99% higher at 10058.77 after gaining $184.62 (1.87%) today. The bulls were in full control today, moving the market higher throughout the whole session. Closing above Monday's high at 9877.34, the Nasdaq confirmed its breakout through the previous session high after trading up to $208.25 above it intraday.
Daily Candlestick Chart (IXIC as at Jun 30, 2020):
Tuesday's trading range has been $221.92 (2.25%), that's slightly above the last trading month's daily average range of $195.43. 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 IXIC.
One bullish candlestick pattern matches today's price action, the White Candle.
Buyers managed to take out the key technical resistance level at 9991.21 (now S1), which is likely to act as support going forward. The last time this happened on June 25th, IXIC actually lost -2.59% on the following trading day.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying might speed up should prices move above the close-by swing high at 10221.85 where further buy stops could get activated.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Price broke through Technical Resistance R1" stand out. Its common bullish interpretation has been confirmed for Nasdaq Comp.. Out of 232 times, IXIC closed higher 57.33% 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 68.10% with an average market move of 0.79%.