CPB closes higher for the 2nd day in a row
Campbell Soup Company (CPB) Technical Analysis Report for Jan 10, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, CPB finished the week -1.45% lower at 47.73 after gaining $0.11 (0.23%) today, outperforming the S&P 500 (-0.29%). Closing above Thursday's high at 47.68, the stock confirmed its breakout through the previous session high after trading up to $0.31 above it intraday.
Daily Candlestick Chart (CPB as at Jan 10, 2020):
Friday's trading range has been $0.61 (1.28%), that's slightly above the last trading month's daily average range of $0.60. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for CPB.
The market managed to close back above the 50-day moving average at 47.66. When this moving average was crossed above the last time on December 2, 2019, CPB gained 0.93% on the following trading day. Prices are trading close to the key technical resistance level at 48.07 (R1).
Though the share is currently in a short-term downtrend, this might just be a correction, as both the medium and long-term trends are still bullish.
Among the four 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 Campbell Soup. Out of 479 times, CPB closed higher 55.53% 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 56.78% with an average market move of 0.15%.