LOPE pushes through Friday's high
Grand Canyon Education Inc. (LOPE) Technical Analysis Report for Jun 01, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, LOPE finished Monday at 98.79 gaining $1.20 (1.23%), outperforming the S&P 500 (0.38%). Today's close at 98.79 marks the highest recorded closing price since October 11, 2019. Closing above Friday's high at 97.74, the market confirmed its breakout through the previous session high after trading up to $1.51 above it intraday.
Daily Candlestick Chart (LOPE as at Jun 01, 2020):
Monday's trading range has been $2.50 (2.57%), that's slightly below the last trading month's daily average range of $3.37. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for LOPE.
One bullish candlestick pattern matches today's price action, the White Candle. The last time a White Candle showed up on May 29th, LOPE gained 1.23% on the following trading day.
Prices are trading close to the key technical resistance level at 99.74 (R1).
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 99.74, upside momentum might accelerate should the stock 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 Technical Indicators based market condition "RSI(14) above 70" stand out. Although it is usually interpreted as bearish, it has actually shown to be bullish for Grand Canyon. Out of 44 times, LOPE closed higher 61.36% 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 56.82% with an average market move of 1.00%.