IR rises to highest close since February 21st
Ingersoll-Rand plc (IR) Technical Analysis Report for Sep 16, 2020 | by Techniquant Editorial Team
Moving higher for the 4th day in a row, IR finished Wednesday at 36.93 gaining $0.60 (1.65%) on high volume, significantly outperforming the S&P 500 (-0.46%). Today's close at 36.93 marks the highest recorded closing price since February 21st. Closing above Tuesday's high at 36.60, the stock confirmed its breakout through the prior session high after trading up to $0.79 above it intraday.
Daily Candlestick Chart (IR as at Sep 16, 2020):
Wednesday's trading range has been $0.92 (2.52%), that's slightly above the last trading month's daily average range of $0.82. Weekly volatility is also higher, being above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for IR.
Crossing above the upper Bollinger Band for the first time since August 12th, prices have shown unusually strong upward momentum in the short-term. This could either indicate a potential buying climax after which prices might head back down towards the mean of the Bollinger Bands at 35.46 or signal the beginning of a strong momentum breakout leading to even higher prices. The last time prices broke out above the upper Bollinger Band on August 10th, IR gained 2.37% on the following trading day.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the Technical Indicators based market condition "Close above the upper Bollinger Band" stand out. Its common bullish interpretation has been confirmed for Ingersoll-Rand plc. Out of 53 times, IR closed higher 60.38% 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 four trading days, showing a win rate of 60.38% with an average market move of -0.27%.