CBOE closes higher for the 3rd day in a row
Cboe Global Markets Inc. (CBOE) Technical Analysis Report for Feb 14, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, CBOE finished the week 2.52% higher at 125.63 after gaining $1.36 (1.09%) today, outperforming the S&P 500 (0.18%) ahead of tomorrow's Presidents' Day market holiday. The bulls were in full control today, moving the market higher throughout the whole session. Closing above Thursday's high at 124.30, the share confirmed its breakout through the previous session high after trading up to $1.49 above it intraday.
Daily Candlestick Chart (CBOE as at Feb 14, 2020):
Friday's trading range has been $2.93 (2.38%), that's slightly above the last trading month's daily average range of $2.45. 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 higher than usual for CBOE.
Two candlestick patterns are matching today's price action, the White Candle which is known as bullish pattern and one bearish pattern, the Last Engulfing Top Pattern.
Buyers managed to take out the key technical resistance level at 124.65 (now S1), which is likely to act as support going forward. After having been unable to move lower than 122.52 in the prior session, Cboe Global found buyers again around the same price level today at 122.86. The last time this happened on February 6th, CBOE actually lost -4.21% on the following trading day.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the 10 market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "3 Consecutive Higher Closes" stand out. Its common bullish interpretation has been confirmed for Cboe Global. Out of 163 times, CBOE closed higher 63.19% 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 57.06% with an average market move of 0.58%.