CHKP closes above its opening price after recovering from early selling pressure
Check Point Software Technologies Ltd. (CHKP) Technical Analysis Report for Jul 17, 2020 | by Techniquant Editorial Team
CHKP finished the week 1.17% higher at 120.85 after gaining $1.62 (1.36%) today, significantly outperforming the Nasdaq 100 (0.18%). Today's close at 120.85 marks the highest recorded closing price since April 17, 2019. Trading up to $1.22 lower after the open, Check Point managed to reverse during the session as bulls took control ending the day above its opening price. Ending with a strong close near the high of the day sets a bullish note for the next session.
Daily Candlestick Chart (CHKP as at Jul 17, 2020):
Friday's trading range has been $2.41 (2.01%), that's slightly below the last trading month's daily average range of $2.96. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently notably higher than usual for CHKP. Prices continued to consolidate within a tight trading range between 117.59 and 121.17 where it has been caught now for the last three trading days.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Bullish Intraday Reversal" stand out. Its common bullish interpretation has been confirmed for Check Point. Out of 461 times, CHKP closed higher 50.33% 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 57.92% with an average market move of 0.59%.