KIM pushes through key technical resistance level
Kimco Realty Corporation (KIM) Technical Analysis Report for Jul 28, 2020 | by Techniquant Editorial Team
KIM finished Tuesday at 11.12 gaining $0.41 (3.83%), notably outperforming the S&P 500 (-0.65%). Closing above Monday's high at 10.77, Kimco Realty confirmed its breakout through the previous session high after trading up to $0.47 above it intraday.
Daily Candlestick Chart (KIM as at Jul 28, 2020):
Tuesday's trading range has been $0.71 (6.67%), that's far above the last trading month's daily average range of $0.48. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for KIM.
Despite a weak opening the market managed to close above the prior day's open and close, forming a bullish Engulfing Candle. Additionally, one bullish candlestick pattern matches today's price action, the White Candle.
Buyers managed to take out the key technical resistance level at 10.96 (now S1), which is likely to act as support going forward. The last time this happened on June 3rd, KIM gained 2.95% on the following trading day.
The stock shows weakness in the short-term (in accordance with its long-term downtrend) with only the medium-term trend still being bullish.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bullish Engulfing Candle" stand out. Its common bullish interpretation has been confirmed for Kimco Realty. Out of 69 times, KIM closed higher 53.62% 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 56.52% with an average market move of 0.36%.