CAG stuck within tight trading range
ConAgra Foods Inc. (CAG) Technical Analysis Report for Aug 10, 2018 | by Techniquant Editorial Team
CAG ended the week -2.53% lower at 36.65 after edging lower $0.13 (-0.35%) today. Trading up to $0.22 lower after the open, the stock managed to reverse during the session as bulls took control ending the day above its opening price. Closing within the prior day's range, prices failed to decisively move past the previous day's trading range in a lackluster session. Ending the day with an indecisive close, neither buyers nor sellers were able to gain control during the session.
Daily Candlestick Chart (CAG as at Aug 10, 2018):
Friday's trading range was $0.37 (1.01%), that's far below last trading month's daily average range of $0.55. Things look different on a weekly scale, where volatility is slightly below the markets average with the monthly volatility being below average. Prices continued to consolidate within a tight trading range between 36.42 and 36.93 which it has been in now for the last three days.
After trading as low as 36.42 during the day, the share bounced off the key support level at 36.45. The failure to close below the support could increase that levels importance as support going forward. After having been unable to move lower than 36.42 in the prior session, the market found buyers again around the same price level today at 36.42. After trading as low as 36.42 during the day, ConAgra Foods found support at the 20-day moving average at 36.52.
While still in a long-term uptrend, the short and medium-term trends both turned bearish already. CAG broke below the 200-day moving average at 36.72 today for the first time since August 8th.
Selling might speed up should prices move below the nearby swing low at 36.11 where further sell stops could get triggered.