CRWD finds buyers again around 109.46
CrowdStrike Holdings Inc. (CRWD) Technical Analysis Report for Jul 31, 2020 | by Techniquant Editorial Team
CRWD ended the month 12.87% higher at 113.20 after gaining $1.29 (1.15%) today on low volume, slightly outperforming the S&P 500 (0.77%). Today's close at 113.20 marks the highest recorded closing price since July 10th. Trading up to $3.45 lower after the open, the market managed to reverse during the session as bulls took control ending the day above its opening price. Ending the day with an indecisive close, neither buyers nor sellers were able to gain control during the session.
Daily Candlestick Chart (CRWD as at Jul 31, 2020):
Friday's trading range has been $4.38 (3.88%), that's slightly below the last trading month's daily average range of $5.48. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently just the same than usual for CRWD. Prices continued to consolidate within a tight trading range between 107.40 and 113.84 where it has been caught now for the last three trading days.
Three candlestick patterns are matching today's price action, the Bullish Spinning Top which is known as bullish pattern and two bearish patterns, the Bearish Hikkake Pattern and the Hanging Man.
After having been unable to move lower than 108.91 in the prior session, the stock found buyers again around the same price level today at 109.46. The last time this happened on July 17th, CRWD gained 5.22% on the following trading day.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
With prices trading close to this year's high at 118.58, upside momentum might accelerate should the share be able to break out to new highs for the year.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bearish Hikkake Pattern" stand out. Although it is usually interpreted as bearish, it has actually shown to be bullish for CrowdStrike. Out of 15 times, CRWD closed higher 73.33% 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 53.33% with an average market move of 4.76%.