COTY still stuck within tight trading range
Coty, Inc (COTY) Technical Analysis Report for Jul 13, 2018
COTY ended the week 0.56% higher at 14.24 after gaining $0.20 (1.42%) today on low volume. Closing within the prior day's range, prices failed to decisively move past the previous day's trading range.
Friday's trading range was $0.36 (2.56%), that's slightly below last trading month's daily average range of $0.37. Things look different on a weekly scale, where volatility is slightly below the markets average with the monthly volatility being slightly below average. Prices continued to consolidate within a tight trading range between 13.97 and 14.46 which it has been in now for the last trading week.
In a volatile session, prices traded above the prior day's high as well as below the previous day's low, forming a bullish Outside Bar.
After trading as low as 14.00 during the day, the market bounced off the key support level at 14.04. The failure to close below the support could increase that levels importance as support going forward. After having been unable to move lower than 14.03 in the prior session, Coty, Inc found buyers again around the same price level today at 14.00. After spiking up to 14.36 during the day, the stock found resistance at the 20-day moving average at 14.25.
While the share is experiencing a short-term up trend, this might just be a correction, as both the medium and long term trends are still in negative territory. COTY managed to break above the 50-day moving average at 14.20 today for the first time since July 10th.
Buying could speed up should prices move above the close-by swing high at 14.46 where further buy stops might get triggered. Selling could accelerate should prices move below the nearby swing low at 13.97 where further sell stops might get activated.
While classical technical analysis indicates a neutral sentiment for the next trading day, our quantitative statistics show a different picture being slightly bullish.