CDAY climbs to highest close since March 4th
Ceridian HCM Holding Inc. (CDAY) Technical Analysis Report for Jun 01, 2020 | by Techniquant Editorial Team
Moving higher for the 5th day in a row, CDAY ended Monday at 71.81 surging $2.94 (4.27%) on high volume, significantly outperforming the S&P 500 (0.38%). This is the biggest single-day gain in over a month. Today's close at 71.81 marks the highest recorded closing price since March 4th. Closing above Friday's high at 70.11, the stock confirmed its breakout through the previous session high after trading up to $3.37 above it intraday.
Daily Candlestick Chart (CDAY as at Jun 01, 2020):
Monday's trading range has been $4.99 (7.26%), that's far above the last trading month's daily average range of $3.10. Weekly volatility is also higher, being above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for CDAY.
Two candlestick patterns are matching today's price action, the White Candle which is known as bullish pattern and one bearish pattern, the Bearish Hikkake Pattern.
Crossing above the upper Bollinger Band for the first time since May 8th, prices have shown unusually strong upward momentum in the short-term. This might either indicate a potential buying climax after which prices could head back down towards the mean of the Bollinger Bands at 64.52 or signal the beginning of a strong momentum breakout leading to even higher prices. The last time prices broke out above the upper Bollinger Band on May 6th, CDAY gained 4.23% on the following trading day.
The trend is clearly bullish, showing an intact uptrend 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 "Closed above last periods high" stand out. Its common bullish interpretation has been confirmed for Ceridian HCM. Out of 113 times, CDAY closed higher 61.06% 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 63.72% with an average market move of 2.40%.