CZR dominated by bulls lifting the market higher throughout the day
Caesars Entertainment Corporation (CZR) Technical Analysis Report for Jan 10, 2019 | by Techniquant Editorial Team
Moving higher for the 5th day in a row, CZR finished Thursday at 7.99 gaining $0.21 (2.7%), notably outperforming the S&P 500 (0.45%). Today's close at 7.99 marks the highest recorded closing price since December 3, 2018. The bulls were in full control today, moving the market higher throughout the whole session. Closing above Wednesday's high at 7.86, Caesars Entertainment confirmed its breakout through the previous session high after trading up to $0.19 above it intraday.
Daily Candlestick Chart (CZR as at Jan 10, 2019):
Thursday's trading range has been $0.40 (5.21%), that's slightly below the last trading month's daily average range of $0.40. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for CZR.
One bullish candlestick pattern matches today's price action, the White Candle. The last time a White Candle showed up on Tuesday, CZR gained 3.87% on the following trading day.
The share managed to close above the 50-day moving average at 7.83 for the first time since October 19, 2018.
Though the market is experiencing a short-term uptrend, this might just be a correction, as both the medium and long-term trends are still bearish.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bullish Break through SMA 50" stand out. While it is usually interpreted as bullish, it has actually shown to be bearish for Caesars Entertainment. Out of 57 times, CZR closed lower 50.88% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the short side has been after 10 trading days, showing a win rate of 59.65% with an average market move of -0.25%.