FSLY closes above its opening price after recovering from early selling pressure
Fastly Inc. (FSLY) Technical Analysis Report for Jul 31, 2020 | by Techniquant Editorial Team
Moving higher for the 5th day in a row, FSLY finished the month 13.34% higher at 96.49 after gaining $3.93 (4.25%) today, notably outperforming the S&P 500 (0.77%). Today's close at 96.49 marks the highest recorded closing price since July 9th. Trading up to $5.43 lower after the open, the market managed to reverse during the session as bulls took control ending the day above its opening price. The last time this happened on July 15th, FSLY actually lost -5.16% on the following trading day. Ending the day with an indecisive close, neither buyers nor sellers were able to gain control during the session.
Daily Candlestick Chart (FSLY as at Jul 31, 2020):
Friday's trading range has been $6.52 (6.79%), that's slightly below the last trading month's daily average range of $7.12. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently just the same than usual for FSLY.
Two candlestick patterns are matching today's price action, the Bullish Spinning Top which is known as bullish pattern and one bearish pattern, the Hanging Man.
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 102.95, upside momentum might accelerate should Fastly be able to break out to new highs for the year.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "5 Consecutive Higher Closes" stand out. Its common bullish interpretation has been confirmed for Fastly. Out of 7 times, FSLY closed higher 71.43% 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 71.43% with an average market move of 16.59%.