GPC closes lower for the 2nd day in a row
Genuine Parts Company (GPC) Technical Analysis Report for Sep 16, 2020 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, GPC finished Wednesday at 101.36 losing $0.48 (-0.47%) on low volume, slightly underperforming the S&P 500 (-0.46%). Closing below Tuesday's low at 101.52, the stock confirmed its breakout through the previous session low after trading up to $1.06 below it intraday.
Daily Candlestick Chart (GPC as at Sep 16, 2020):
Wednesday's trading range has been $1.96 (1.92%), that's slightly below the last trading month's daily average range of $2.15. Things look different on the weekly timeframe, where the market's trading range of the last week has been above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for GPC.
Prices are trading close to the key technical support level at 99.45 (S1).
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the two market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "2 Consecutive Lower Closes" stand out. While it is usually interpreted as bearish, it has actually shown to be bullish for Genuine Parts. Out of 302 times, GPC closed higher 54.30% 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 52.65% with an average market move of 0.28%.