DVA climbs to highest close ever
DaVita Inc. (DVA) Technical Analysis Report for Sep 16, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, DVA ended Wednesday at 91.84 surging $2.00 (2.23%), significantly outperforming the S&P 500 (-0.46%). Today's close at 91.84 marks the highest recorded closing price ever.
Daily Candlestick Chart (DVA as at Sep 16, 2020):
Wednesday's trading range has been $2.40 (2.64%), that's above the last trading month's daily average range of $1.80. Weekly volatility is also higher, being above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for DVA.
Buyers managed to take out the key technical resistance level at 91.69 (now S1), which is likely to act as support going forward. The last time this happened on September 9th, DVA actually lost -0.43% on the following trading day.
With another close above the upper Bollinger Band, prices are confirming their strong upward momentum in the short-term. A drop back into the Bollinger Band on the next trading day though might signal a potential change in momentum that could lead to a correction back down towards the center of the Bollinger Bands at 87.63.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the five market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Price broke through Technical Resistance R1" stand out. Its common bullish interpretation has been confirmed for DaVita. Out of 256 times, DVA closed higher 55.08% 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 55.86% with an average market move of 0.45%.