JD ends the day on a bullish note closing near the high of the day
JD.com Inc. (JD) Technical Analysis Report for Jul 31, 2020 | by Techniquant Editorial Team
JD finished the month 6.0% higher at 63.79 after gaining $1.50 (2.41%) today, outperforming the Nasdaq 100 (1.78%). Today's close at 63.79 marks the highest recorded closing price since July 10th. Trading up to $0.56 lower after the open, the stock managed to reverse during the session as bulls took control ending the day above its opening price. Ending with a strong close near the high of the day sets a bullish note for the next session.
Daily Candlestick Chart (JD as at Jul 31, 2020):
Friday's trading range has been $1.51 (2.4%), that's below the last trading month's daily average range of $2.15. Weekly volatility is also lower, being way below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for JD.
One bullish candlestick pattern matches today's price action, the White Candle. The last time a White Candle showed up on Monday, JD actually lost -2.05% on the following trading day.
The market managed to close back above the 20-day moving average at 62.81. Prices are trading close to the key technical resistance level at 65.10 (R1).
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bullish Break through SMA 20" stand out. Its common bullish interpretation has been confirmed for JD. com. Out of 88 times, JD closed higher 57.95% 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 61.36% with an average market move of 1.24%.