HPQ pops to highest close since February 27th
HP Inc. (HPQ) Technical Analysis Report for Apr 16, 2019 | by Techniquant Editorial Team
HPQ finished Tuesday at 20.57 gaining $0.37 (1.83%), strongly outperforming the S&P 500 (0.05%). Today's close at 20.57 marks the highest recorded closing price since February 27th. The bulls were in full control today, moving the market higher throughout the whole session. Closing above Monday's high at 20.28, HP confirmed its breakout through the prior session high after trading up to $0.33 above it intraday.
Daily Candlestick Chart (HPQ as at Apr 16, 2019):
Tuesday's trading range has been $0.41 (2.02%), that's slightly above the last trading month's daily average range of $0.38. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently lower than usual for HPQ.
One bullish candlestick pattern matches today's price action, the White Candle.
Buyers managed to take out the key technical resistance level at 20.35 (now S1), which is likely to act as support going forward. The last time this happened on April 10th, HPQ actually lost -0.15% on the following trading day.
While the stock is experiencing a short-term uptrend, this might just be a correction, as both the medium and long-term trends are still bearish.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Closed above last periods high" stand out. Its common bullish interpretation has been confirmed for HP. Out of 433 times, HPQ closed higher 51.96% 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 56.12% with an average market move of 0.44%.