HBI dominated by bulls lifting the market higher throughout the day
Hanesbrands Inc. (HBI) Technical Analysis Report for Jun 29, 2020 | by Techniquant Editorial Team
HBI ended Monday at 11.15 gaining $0.69 (6.6%), significantly outperforming the S&P 500 (1.47%). The bulls were in full control today, moving the market higher throughout the whole session. Closing above Friday's high at 10.80, the share confirmed its breakout through the prior session high after trading up to $0.41 above it intraday.
Daily Candlestick Chart (HBI as at Jun 29, 2020):
Monday's trading range has been $0.71 (6.73%), that's slightly above the last trading month's daily average range of $0.61. 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 lower than usual for HBI.
One bullish candlestick pattern matches today's price action, the White Candle. The last time a White Candle showed up on June 15th, HBI gained 3.77% on the following trading day.
Hanesbrands managed to close back above the 100-day moving average at 10.63.
The market shows weakness in the short-term (in accordance with its long-term downtrend) with only the medium-term trend still being bullish.
Buying might speed up should prices move above the nearby swing high at 11.57 where further buy stops could get activated.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Close to Swing High" stand out. While it is usually interpreted as neutral, it has actually shown to be bullish for Hanesbrands. Out of 755 times, HBI closed higher 51.26% 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 53.91% with an average market move of 0.58%.