FAST dominated by bulls lifting the market higher throughout the day
Fastenal Company (FAST) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, FAST finished the month 3.83% higher at 42.84 after gaining $0.92 (2.19%) today, slightly outperforming the Nasdaq 100 (1.96%). Today's close at 42.84 marks the highest recorded closing price since June 9th. The bulls were in full control today, moving the market higher throughout the whole session. Closing above Monday's high at 42.21, the market confirmed its breakout through the prior session high after trading up to $0.93 above it intraday.
Daily Candlestick Chart (FAST as at Jun 30, 2020):
Tuesday's trading range has been $1.68 (4.03%), that's far above the last trading month's daily average range of $1.17. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for FAST.
One bullish candlestick pattern matches today's price action, the White Candle.
Buyers managed to take out the key technical resistance level at 42.37 (now S1), which is likely to act as support going forward. The last time this happened on May 27th, FAST actually lost -0.39% on the following trading day.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
With prices trading close to this year's high at 43.20, upside momentum could speed up should the stock be able to break out to new highs for the year.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "2 Consecutive Higher Closes" stand out. Its common bullish interpretation has been confirmed for Fastenal. Out of 310 times, FAST closed higher 56.45% 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 58.71% with an average market move of 1.05%.