INTU rises to highest close since July 10th
Intuit Inc. (INTU) Technical Analysis Report for Jul 31, 2020 | by Techniquant Editorial Team
Moving higher for the 5th day in a row, INTU ended the month 3.44% higher at 306.37 after gaining $2.43 (0.8%) today, underperforming the Nasdaq 100 (1.78%). Today's close at 306.37 marks the highest recorded closing price since July 10th. Trading up to $5.90 lower after the open, the share managed to reverse during the session as bulls took control ending the day above its opening price. The last time this happened on July 17th, INTU gained 3.27% on the following trading day. Closing above Thursday's high at 305.05, Intuit confirmed its breakout through the prior session high after trading up to $1.44 above it intraday.
Daily Candlestick Chart (INTU as at Jul 31, 2020):
Friday's trading range has been $7.62 (2.5%), that's slightly below the last trading month's daily average range of $7.63. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for INTU.
One bearish candlestick pattern matches today's price action, the Hanging Man.
After trading down to 298.87 earlier during the day, the stock bounced off the key technical support level at 300.71 (S1). The failure to close below the support could increase that levels importance as support going forward. Prices are trading close to the key technical resistance level at 311.23 (R1).
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 314.73, upside momentum might accelerate should the market be able to break out to new highs for the year.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bounced off Technical Support S1" stand out. Its common bullish interpretation has been confirmed for Intuit. Out of 442 times, INTU closed higher 60.18% 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 64.25% with an average market move of 1.10%.