CBOE pushes through key technical resistance level
Cboe Global Markets Inc. (CBOE) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, CBOE ended Thursday at 90.82 surging $10.82 (13.53%), strongly outperforming the S&P 500 (6.24%). This is the biggest single-day gain ever recorded for Cboe Global. The bulls were in full control today, moving the market higher throughout the whole session. Closing above Wednesday's high at 83.54, the stock confirmed its breakout through the prior session high after trading up to $7.47 above it intraday.
Daily Candlestick Chart (CBOE as at Mar 26, 2020):
Thursday's trading range has been $12.07 (15.27%), that's far above the last trading month's daily average range of $8.18. 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 notably higher than usual for CBOE.
One bullish candlestick pattern matches today's price action, the White Candle.
Buyers managed to take out the key technical resistance level at 89.94 (now S1), which is likely to act as support going forward. The last time this happened on March 6th, CBOE actually lost -4.28% on the following trading day.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the nine 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 164 times, CBOE closed higher 62.80% 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 56.71% with an average market move of 0.54%.