EXC closes lower for the 3rd day in a row
Exelon Corporation (EXC) Technical Analysis Report for Jul 27, 2020 | by Techniquant Editorial Team
Moving lower for the 3rd day in a row, EXC ended Monday at 37.58 losing $0.22 (-0.58%), strongly underperforming the S&P 500 (0.74%). Closing within the prior day's range, prices missed to decisively move beyond the previous day's trading range.
Daily Candlestick Chart (EXC as at Jul 27, 2020):
Monday's trading range has been $0.96 (2.54%), that's slightly above the last trading month's daily average range of $0.96. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for EXC.
One bullish candlestick pattern matches today's price action, the Hammer.
After trading as low as 37.04 during the day, the market found support at the 100-day moving average at 37.22. The last time this happened on October 1, 2019, EXC actually lost -0.75% on the following trading day. Exelon closed below the 20-day moving average at 37.68 for the first time since July 9th.
Although still in a long-term downtrend, the short and medium-term trends both turned bullish already.
As prices are trading close to July's low at 35.89, downside momentum might accelerate should the stock mark new lows for the month.
Among the five market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Hammer" stand out. Its common bullish interpretation has been confirmed for Exelon. Out of 29 times, EXC closed higher 55.17% 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 68.97% with an average market move of 1.58%.