CLDR closes higher for the 3rd day in a row
Cloudera Inc. (CLDR) Technical Analysis Report for Sep 16, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, CLDR finished Wednesday at 11.18 gaining $0.05 (0.45%), outperforming the S&P 500 (-0.46%). Trading up to $0.13 lower after the open, the stock managed to reverse during the session as bulls took control ending the day above its opening price. Closing within the prior day's range, prices missed to decisively move beyond the previous day's trading range in a lackluster session.
Daily Candlestick Chart (CLDR as at Sep 16, 2020):
Wednesday's trading range has been $0.39 (3.49%), that's below the last trading month's daily average range of $0.66. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently higher than usual for CLDR. Prices continued to consolidate within a tight trading range between 10.85 and 11.43 where it has been caught now for the last three trading days.
Two candlestick patterns are matching today's price action, the Southern Doji which is known as bullish pattern and one neutral pattern, the Doji.
After trading down to 11.04 earlier during the day, the share bounced off the key technical support level at 11.12 (S1). The failure to close below the support could increase that levels importance as support going forward. After having been unable to move lower than 10.97 in the prior session, Cloudera found buyers again around the same price level today at 11.04. The last time this happened on Monday, CLDR gained 0.45% on the following trading day.
While still in a long-term uptrend, the short and medium-term trends both turned bearish already.
Selling might accelerate should prices move below the nearby swing low at 10.80 where further sell stops could get activated. As prices are trading close to September's low at 10.64, downside momentum might speed up should the market mark new lows for the month.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Close to Swing Low" stand out. Although it is usually interpreted as neutral, it has actually shown to be bullish for Cloudera. Out of 254 times, CLDR closed higher 55.91% 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 50.79% with an average market move of 0.82%.