LW ends the day indecisive
Lamb Weston Holdings Inc. (LW) Technical Analysis Report for Jun 01, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, LW finished Monday at 61.59 gaining $1.53 (2.55%) on high volume, significantly outperforming the S&P 500 (0.38%). Ending the day with an indecisive close, neither buyers nor sellers were able to gain control during the session.
Daily Candlestick Chart (LW as at Jun 01, 2020):
Monday's trading range has been $3.09 (5.07%), that's slightly above the last trading month's daily average range of $2.67. 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 slightly lower than usual for LW.
Though still in a long-term downtrend, the short and medium-term trends both turned bullish already.
Trading close to April's high at 65.42 we might see further upside momentum if potential buy stops at the level get triggered.
Among the two market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "2 Consecutive Higher Closes" stand out. Its common bullish interpretation has been confirmed for Lamb Weston. Out of 113 times, LW closed higher 61.95% 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 66.37% with an average market move of 1.48%.