CSX closes within prior day's range
CSX Corporation (CSX) Technical Analysis Report for Oct 12, 2018 | by Techniquant Editorial Team
CSX finished the week -5.84% lower at 70.20 after gaining $1.43 (2.08%) today, underperforming the Nasdaq 100 (2.77%). Trading $0.73 higher after the open, the stock was unable to hold its gains as the bears took control ending the day below its opening price. Closing within the previous day's range, prices missed to decisively move beyond the prior day's trading range.
Daily Candlestick Chart (CSX as at Oct 12, 2018):
Friday's trading range has been $1.57 (2.22%), that's slightly above the last trading month's daily average range of $1.40. Weekly volatility is also higher, being way above the market's average weekly trading range. The longer-term, monthly volatility is currently significantly higher than usual for CSX.
The share managed to break above the 100-day moving average at 69.91 today for the first time since April 12th. When this moving average was taken out the last time on April 12th, CSX actually lost -0.93% on the following trading day. Prices are trading close to the key technical resistance level at 71.51 (R1).
Crossing above the lower Bollinger Band, prices have lost at least some of their downward momentum in the short-term and might now be heading back up towards the mean of the Bollinger Bands at 73.44.
Although still in a long-term uptrend, the short and medium-term trends both turned bearish already.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bullish Break through SMA 100" stand out. Its common bullish interpretation has been confirmed for CSX Corp.. Out of 67 times, CSX closed higher 59.70% 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 58.21% with an average market move of 1.45%.