KERN pops to highest close since April 28th
Akerna Corp. (KERN) Technical Analysis Report for May 22, 2020 | by Techniquant Editorial Team
KERN finished the week 23.21% higher at 8.97 after surging $0.96 (11.99%) today on high volume, notably outperforming the S&P 500 (0.24%) ahead of tomorrow's Memorial Day market holiday. This is the biggest single-day gain in over two months. Today's close at 8.97 marks the highest recorded closing price since April 28th. Closing above Thursday's high at 8.17, the market confirmed its breakout through the prior session high after trading up to $1.27 above it intraday.
Daily Candlestick Chart (KERN as at May 22, 2020):
Friday's trading range has been $1.65 (20.94%), that's far above the last trading month's daily average range of $0.63. 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 KERN.
Two candlestick patterns are matching today's price action, the White Candle which is known as bullish pattern and one bearish pattern, the Last Engulfing Top Pattern. The last time a White Candle showed up on Tuesday, KERN gained 1.64% on the following trading day.
Buyers managed to take out the key technical resistance level at 8.83 (now S1), which is likely to act as support going forward.
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 9.84, upside momentum could accelerate should the share 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 Price Action based market condition "Very Strong Up Move" stand out. Although it is usually interpreted as bullish, it has actually shown to be bearish for Akerna. Out of 14 times, KERN closed lower 64.29% of the time on the next trading day after the market condition occurred.