CHTR soars, gaining $16.56 (2.94%) within a single day on high volume
Charter Communications Inc. (CHTR) Technical Analysis Report for Jul 31, 2020 | by Techniquant Editorial Team
CHTR ended the month 13.72% higher at 580.00 after surging $16.56 (2.94%) today on high volume, strongly outperforming the Nasdaq 100 (1.78%) following today's earnings report. This is the biggest single-day gain in over three months. The last time we've seen such an unusually strong single-day gain on May 27th, CHTR gained 1.82% on the following trading day. Today's close at 580.00 marks the highest recorded closing price ever.
Daily Candlestick Chart (CHTR as at Jul 31, 2020):
CHTR reported earnings of $3.63 per share before today's market open. With analysts having expected an EPS of $2.54, Charter Communications Inc. beat market expectations by 42.9%. The company's last earnings report was released on May 1, 2020, when Charter Communications Inc. reported earnings of $1.96 per share failing market expectations by -27.1%.
Friday's trading range has been $40.05 (6.74%), that's far above the last trading month's daily average range of $11.52. 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 CHTR.
In a volatile session, prices traded above the previous day's high as well as below the prior day's low, forming a bearish Outside Bar.
After trading down to 554.26 earlier during the day, the share bounced off the key technical support level at 569.14 (S1). The failure to close below the support might increase that levels importance as support going forward.
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 Support/Resistance based market condition "Bounced off Technical Support S1" stand out. Its common bullish interpretation has been confirmed for Charter Communications. Out of 439 times, CHTR closed higher 57.18% 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 64.01% with an average market move of 1.33%.