LOPE finds buyers again around 83.86
Grand Canyon Education Inc. (LOPE) Technical Analysis Report for Feb 14, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, LOPE ended the week 8.52% higher at 87.49 after gaining $3.07 (3.64%) today, significantly outperforming the S&P 500 (0.18%) ahead of tomorrow's Presidents' Day market holiday. The bulls were in full control today, moving the market higher throughout the whole session. Closing above Thursday's high at 84.88, the share confirmed its breakout through the previous session high after trading up to $2.84 above it intraday.
Daily Candlestick Chart (LOPE as at Feb 14, 2020):
Friday's trading range has been $3.86 (4.56%), that's slightly above the last trading month's daily average range of $3.26. 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 higher than usual for LOPE.
One bullish candlestick pattern matches today's price action, the White Candle.
The market managed to close above the 20-day moving average at 85.60 for the first time since January 21st. Prices are trading close to the key technical resistance level at 89.11 (R1). After having been unable to move lower than 83.46 in the prior session, the stock found buyers again around the same price level today at 83.86. The last time this happened on Tuesday, LOPE gained 4.44% on the following trading day.
Though still in a long-term downtrend, the short and medium-term trends both turned bullish already.
Among the nine market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "White Candle" stand out. Its common bullish interpretation has been confirmed for Grand Canyon. Out of 488 times, LOPE closed higher 53.07% 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 55.74% with an average market move of 1.02%.