LOPE closes higher for the 3rd day in a row
Grand Canyon Education Inc. (LOPE) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, LOPE ended the month -7.23% lower at 90.53 after gaining $0.01 (0.01%) today, notably underperforming the S&P 500 (1.54%). Trading $1.33 higher after the open, the share was unable to hold its gains as the bears took control ending the day below its opening price. The last time this happened on June 19th, LOPE lost -0.86% on the following trading day. Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range in a lackluster session.
Daily Candlestick Chart (LOPE as at Jun 30, 2020):
Tuesday's trading range has been $1.89 (2.08%), that's below the last trading month's daily average range of $2.87. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for LOPE.
One bearish candlestick pattern matches today's price action, the Bearish Spinning Top.
Although the market is currently in a short-term downtrend, this could just be a correction, as both the medium and long-term trends are still bullish.
Selling might accelerate should prices move below the nearby swing low at 87.86 where further sell stops could get triggered.
Among the four 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 Grand Canyon. Out of 238 times, LOPE closed higher 52.10% 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 55.04% with an average market move of 1.02%.