CHRW dominated by bulls lifting the market higher throughout the day
C.H. Robinson Worldwide Inc. (CHRW) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
CHRW finished Thursday at 65.89 surging $3.60 (5.78%), slightly underperforming the S&P 500 (6.24%). This is the biggest single-day gain in over a year. The bulls were in full control today, moving the market higher throughout the whole session. Closing above Wednesday's high at 64.63, the share confirmed its breakout through the previous session high after trading up to $2.23 above it intraday.
Daily Candlestick Chart (CHRW as at Mar 26, 2020):
Thursday's trading range has been $4.85 (7.76%), that's slightly above the last trading month's daily average range of $4.23. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for CHRW.
One bullish candlestick pattern matches today's price action, the White Candle. The last time a White Candle showed up on March 16th, CHRW gained 5.80% on the following trading day.
The market managed to close above the 20-day moving average at 64.90 for the first time since February 21st. Prices are trading close to the key technical resistance level at 66.91 (R1).
Though C. H. Robinson is experiencing a short-term uptrend, this might just be a correction, as both the medium and long-term trends are still bearish.
Buying could accelerate should prices move above the nearby swing high at 67.05 where further buy stops might get triggered. As prices are trading close to March's high at 70.88, upside momentum could speed up should the stock mark new highs for the month.
Among the nine market conditions that our pattern recognition engine identified today, the statistics for the Technical Indicators based market condition "RSI(2) above 80" stand out. While it is usually interpreted as bearish, it has actually shown to be bullish for C. H. Robinson. Out of 288 times, CHRW closed higher 56.60% of the time on the next trading day after the market condition occurred.