CPG.L rises to highest close ever
Compass Group PLC (CPG.L) Technical Analysis Report for Feb 13, 2019 | by Techniquant Editorial Team
CPG.L ended Wednesday at 1758.50 gaining £13.00 (0.74%), slightly underperforming the FTSE 100 (0.81%). Today's close at 1758.50 marks the highest recorded closing price ever. Closing above Tuesday's high at 1755.00, the stock confirmed its breakout through the prior session high after trading up to £10.00 above it intraday.
Daily Candlestick Chart (CPG.L as at Feb 13, 2019):
Wednesday's trading range has been £33.50 (1.93%), that's above the last trading month's daily average range of £26.60. Things look different on the weekly timeframe, where the market's trading range of the last week has been way below the market's average weekly trading range. The longer-term, monthly volatility is currently significantly higher than usual for CPG.L. Prices continued to consolidate within a tight trading range between 1726.00 and 1776.50 where it has been caught now for the whole last trading week.
Two candlestick patterns are matching today's price action, the White Candle which is known as bullish pattern and one bearish pattern, the Last Engulfing Top Pattern. The last time a White Candle showed up on February 6th, CPG.L gained 3.66% on the following trading day.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying might accelerate should prices move above the nearby swing high at 1776.50 where further buy stops could get triggered.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Close near high of period" stand out. Its common bullish interpretation has been confirmed for Compass Grp.. Out of 561 times, CPG.L closed higher 51.34% 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 56.68% with an average market move of 0.65%.