EXAS finds buyers at key support level
Exact Sciences Corporation (EXAS) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, EXAS finished the month 1.23% higher at 86.94 after edging higher $0.92 (1.07%) today, slightly underperforming the S&P 500 (1.54%). Trading up to $0.99 lower after the open, the share managed to reverse during the session as bulls took control ending the day above its opening price. The last time this happened on June 5th, EXAS gained 4.36% on the following trading day. Closing above Monday's high at 86.19, the stock confirmed its breakout through the previous session high after trading up to $1.43 above it intraday.
Daily Candlestick Chart (EXAS as at Jun 30, 2020):
Tuesday's trading range has been $2.71 (3.15%), that's below the last trading month's daily average range of $4.30. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for EXAS.
After trading down to 84.91 earlier during the day, Exact Sciences bounced off the key technical support level at 85.56 (S1). The failure to close below the support might increase that levels importance as support going forward. After spiking up to 87.62 during the day, the market found resistance at the 20-day moving average at 87.27.
While still in a long-term downtrend, the short and medium-term trends both turned bullish already.
Buying could accelerate should prices move above the nearby swing high at 90.53 where further buy stops might get activated. As prices are trading close to June's high at 92.91, upside momentum could speed up should EXAS mark new highs for the month.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bounced off Technical Support S1" stand out. Its common bullish interpretation has been confirmed for Exact Sciences. Out of 444 times, EXAS closed higher 59.46% 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 57.43% with an average market move of 1.77%.