CRON closes higher for the 2nd day in a row
Cronos Group Inc. (CRON) Technical Analysis Report for Jan 10, 2019 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, CRON ended Thursday at 13.06 gaining $0.08 (0.62%) on high volume, slightly outperforming the S&P 500 (0.45%). Today's close at 13.06 marks the highest recorded closing price since September 20, 2018. Trading up to $0.34 lower after the open, the market managed to reverse during the session as bulls took control ending the day above its opening price. Closing above Wednesday's high at 13.05, the stock confirmed its breakout through the previous session high after trading up to $0.49 above it intraday.
Daily Candlestick Chart (CRON as at Jan 10, 2019):
Thursday's trading range has been $0.95 (7.35%), that's above the last trading month's daily average range of $0.79. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently just the same than usual for CRON.
Two candlestick patterns are matching today's price action, the Bullish High-Wave Candle and the Bullish Spinning Top which are both known as bullish patterns. The last time a Bullish High-Wave Candle showed up on October 10, 2018, CRON actually lost -5.73% on the following trading day.
Buyers managed to take out the key technical resistance level at 13.00 (now S1), which is likely to act as support going forward.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Further buying might move prices higher should the market test December's nearby high at 13.95.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bullish High-Wave Candle" stand out. While it is usually interpreted as bullish, it has actually shown to be bearish for Cronos Group. Out of 4 times, CRON closed lower 75.00% of the time on the next trading day after the market condition occurred.