CREE misses to close above 50-day moving average
Cree Inc. (CREE) Technical Analysis Report for Sep 16, 2020 | by Techniquant Editorial Team
Moving higher for the 4th day in a row, CREE ended Wednesday at 65.40 gaining $1.04 (1.62%), notably outperforming the S&P 500 (-0.46%). Ending the day with an indecisive close, neither buyers nor sellers were able to gain control during the session.
Daily Candlestick Chart (CREE as at Sep 16, 2020):
Wednesday's trading range has been $1.83 (2.82%), that's below the last trading month's daily average range of $2.43. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently significantly lower than usual for CREE.
After spiking up to 66.31 during the day, the market found resistance at the 50-day moving average at 65.95. The last time this happened on September 1st, CREE actually gained 4.19% on the following trading day.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
As prices are trading close to September's high at 66.84, upside momentum could speed up should Cree mark new highs for the month.
Among the three market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bearish Bounce off SMA 50" stand out. While it is usually interpreted as bearish, it has actually shown to be bullish for Cree. Out of 33 times, CREE closed higher 57.58% of the time on the next trading day after the market condition occurred.