LH breaks above 50-day moving average for the first time since August 20th
Laboratory Corporation of America Holdings (LH) Technical Analysis Report for Sep 15, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, LH finished Tuesday at 185.92 gaining $2.79 (1.52%), outperforming the S&P 500 (0.52%). Today's close at 185.92 marks the highest recorded closing price since August 18th.
Daily Candlestick Chart (LH as at Sep 15, 2020):
Tuesday's trading range has been $5.39 (2.93%), that's slightly above the last trading month's daily average range of $4.58. 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 LH.
The stock managed to close above the 50-day moving average at 185.59 for the first time since August 20th. When this moving average was crossed above the last time on July 2nd, LH gained 1.36% on the following trading day.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the three market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bullish Break through SMA 50" stand out. Its common bullish interpretation has been confirmed for Laboratory. Out of 80 times, LH closed higher 55.00% 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 60.00% with an average market move of 0.61%.