JEC closes within prior day's range after lackluster session
Jacobs Engineering Group Inc. (JEC) Technical Analysis Report for Jun 14, 2019 | by Techniquant Editorial Team
JEC ended the week -1.39% lower at 78.30 after edging lower $0.03 (-0.04%) today on low volume, but still slightly outperforming the S&P 500 (-0.16%). Trading up to $0.26 lower after the open, the market managed to reverse during the session as bulls took control ending the day above its opening price. The last time this happened on May 24th, JEC actually lost -1.50% on the following trading day. Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range in a lackluster session.
Daily Candlestick Chart (JEC as at Jun 14, 2019):
Friday's trading range has been $0.75 (0.96%), that's far below the last trading month's daily average range of $1.26. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for JEC. Prices continued to consolidate within a tight trading range between 77.49 and 78.83 where it has been caught now for the last three trading days.
One bullish candlestick pattern matches today's price action, the Bullish Spinning Top.
Prices are trading close to the key technical resistance level at 78.83 (R1). After having been unable to move lower than 77.99 in the prior session, the stock found buyers again around the same price level today at 77.91.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying could accelerate should prices move above the close-by swing high at 78.83 where further buy stops might get activated. Selling could speed up should prices move below the nearby swing low at 77.49 where further sell stops might get triggered. With prices trading close to this year's high at 81.15, upside momentum could accelerate should Jacobs Engineering be able to break out to new highs for the year.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Low close to previous low" stand out. Its common bullish interpretation has been confirmed for Jacobs Engineering. Out of 517 times, JEC closed higher 52.80% 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 52.80% with an average market move of 0.47%.