LOPE closes within previous day's range after lackluster session
Grand Canyon Education Inc. (LOPE) Technical Analysis Report for Jul 31, 2020 | by Techniquant Editorial Team
Moving lower for the 8th day in a row, LOPE finished the month -1.98% lower at 88.74 after losing $0.32 (-0.36%) today, strongly underperforming the S&P 500 (0.77%). 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 Jul 31, 2020):
Friday's trading range has been $1.89 (2.1%), that's below the last trading month's daily average range of $2.88. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for LOPE.
Two candlestick patterns are matching today's price action, the Last Engulfing Bottom Pattern which is known as bullish pattern and one bearish pattern, the Black Candle. The last time a Black Candle showed up on July 13th, LOPE actually gained 1.61% on the following trading day.
Prices are trading close to the key technical support level at 88.34 (S1).
Although still in a long-term uptrend, the short and medium-term trends both turned bearish already.
Selling might speed up should prices move below the nearby swing low at 87.08 where further sell stops could get activated.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Last Engulfing Bottom Pattern" stand out. Its common bullish interpretation has been confirmed for Grand Canyon. Out of 62 times, LOPE closed higher 58.06% 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 61.29% with an average market move of 2.49%.