FISV dominated by bulls lifting the market higher throughout the day
Fiserv Inc. (FISV) Technical Analysis Report for Feb 08, 2019 | by Techniquant Editorial Team
FISV finished the week 3.35% higher at 85.70 after gaining $1.69 (2.01%) today, strongly outperforming the Nasdaq 100 (0.12%) following Thursday's earnings report. Today's close at 85.70 marks the highest recorded closing price ever. The bulls were in full control today, moving the market higher throughout the whole session. Closing above Thursday's high at 84.34, Fiserv confirmed its breakout through the previous session high after trading up to $1.38 above it intraday.
Daily Candlestick Chart (FISV as at Feb 08, 2019):
FISV reported earnings of $0.84 per share after Thursday's market close. With analysts having expected an EPS of $0.83, Fiserv Inc. beat market expectations by 1.2%. The company's last earnings report was released on Oct. 31, 2018, when Fiserv Inc. reported earnings of $0.75 per share failing market expectations by -3.8%.
Friday's trading range has been $2.66 (3.17%), that's above the last trading month's daily average range of $1.99. Things look different on the weekly timeframe, where the market's trading range of the last week has been way below the market's average weekly trading range. The longer-term, monthly volatility is currently significantly higher than usual for FISV.
One bullish candlestick pattern matches today's price action, the White Candle.
After trading down to 83.06 earlier during the day, the stock bounced off the key technical support level at 83.10 (S2). The failure to close below the support could increase that levels significance as support going forward. When prices bounced off a significant support level the last time on December 6, 2018, FISV actually lost -1.75% on the following trading day. After having been unable to move lower than 83.00 in the prior session, the share found buyers again around the same price level today at 83.06.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the 12 market conditions that our pattern recognition engine identified today, the statistics for the Stock Earning Report based market condition "Trading Day post Earnings Report" stand out. While it is usually interpreted as neutral, it has actually shown to be bullish for Fiserv. Out of 24 times, FISV closed higher 66.67% 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 66.67% with an average market move of 2.68%.