COLM breaks back above 20-day moving average
Columbia Sportswear Company (COLM) Technical Analysis Report for Apr 12, 2019 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, COLM finished the week -0.11% lower at 103.97 after gaining $1.37 (1.34%) today on low volume, outperforming the S&P 500 (0.66%). The bulls were in full control today, moving the market higher throughout the whole session. Closing above Thursday's high at 103.53, the share confirmed its breakout through the prior session high after trading up to $0.62 above it intraday.
Daily Candlestick Chart (COLM as at Apr 12, 2019):
Friday's trading range has been $1.16 (1.13%), that's below the last trading month's daily average range of $1.77. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for COLM.
Two candlestick patterns are matching today's price action, the Bullish Short Candle and the White Candle which are both known as bullish patterns.
The stock managed to close back above the 20-day moving average at 103.67 for the first time since April 5th. When this moving average was crossed above the last time on March 28th, COLM actually lost -0.59% on the following trading day.
While the market is currently in a short-term downtrend, this could just be a correction, as both the medium and long-term trends are still bullish.
Among the 10 market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bullish Break through SMA 20" stand out. Its common bullish interpretation has been confirmed for Columbia Sportswear. Out of 161 times, COLM closed higher 52.17% 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 63.98% with an average market move of 1.06%.