JNPR closes above its opening price after recovering from early selling pressure
Juniper Networks Inc. (JNPR) Technical Analysis Report for Aug 05, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, JNPR ended Wednesday at 25.63 gaining $0.11 (0.43%), slightly underperforming the S&P 500 (0.64%). Today's close at 25.63 marks the highest recorded closing price since November 26, 2019. Trading up to $0.30 lower after the open, Juniper Networks managed to reverse during the session as bulls took control ending the day above its opening price. Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range.
Daily Candlestick Chart (JNPR as at Aug 05, 2020):
Wednesday's trading range has been $0.46 (1.8%), that's slightly below the last trading month's daily average range of $0.55. 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 JNPR.
One bullish candlestick pattern matches today's price action, the Bullish Spinning Top. The last time a Bullish Spinning Top showed up on July 24th, JNPR gained 2.61% on the following trading day.
After trading down to 25.30 earlier during the day, the share bounced off the key technical support level at 25.39 (S1). The failure to close below the support might increase that levels significance as support going forward. After having been unable to move lower than 25.30 in the prior session, the market found buyers again around the same price level today at 25.30.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the five 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 Juniper Networks. Out of 387 times, JNPR closed higher 58.66% 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 six trading days, showing a win rate of 54.78% with an average market move of 0.21%.