CME closes higher for the 2nd day in a row
CME Group Inc. (CME) Technical Analysis Report for Feb 13, 2019 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, CME finished Wednesday at 180.40 gaining $1.47 (0.82%) on high volume, outperforming the S&P 500 (0.3%). Closing within the previous day's range, prices missed to decisively move beyond the prior day's trading range.
Daily Candlestick Chart (CME as at Feb 13, 2019):
Wednesday's trading range has been $2.40 (1.34%), that's slightly below the last trading month's daily average range of $3.08. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for CME.
One bullish candlestick pattern matches today's price action, the White Candle. The last time a White Candle showed up on January 31st, CME gained 0.64% on the following trading day.
The stock shows strength in the short-term supported by its long-term uptrend with only the medium-term trend being bearish.
As prices are trading close to February's high at 185.22, upside momentum might accelerate should the market mark new highs for the month.
Among the three 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 CME Group. Out of 276 times, CME closed higher 53.62% 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 58.33% with an average market move of 0.79%.