KSS closes higher for the 3rd day in a row
Kohl's Corporation (KSS) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, KSS ended Thursday at 17.96 edging higher $0.26 (1.47%), notably underperforming the S&P 500 (6.24%). Closing within the prior day's range, prices missed to decisively move beyond the previous day's trading range in a lackluster session.
Daily Candlestick Chart (KSS as at Mar 26, 2020):
Thursday's trading range has been $1.78 (9.67%), that's far below the last trading month's daily average range of $2.64. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently strongly higher than usual for KSS.
One bearish candlestick pattern matches today's price action, the Bearish Spinning Top. The last time a Bearish Spinning Top showed up on March 18th, KSS actually gained 10.20% on the following trading day.
Prices are trading close to the key technical resistance level at 18.07 (R1).
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the two market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bearish Spinning Top" stand out. While it is usually interpreted as bearish, it has actually shown to be bullish for Kohl's. Out of 215 times, KSS closed higher 50.70% 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 eight trading days, showing a win rate of 50.70% with an average market move of 0.10%.