MDLZ fails to close above 100-day moving average
Mondelez International Inc. (MDLZ) Technical Analysis Report for Jul 02, 2020 | by Techniquant Editorial Team
MDLZ finished Thursday at 51.49 gaining $0.41 (0.8%), slightly outperforming the Nasdaq 100 (0.61%) ahead of tomorrow's Independence Day OBS market holiday. Closing above Wednesday's high at 51.33, the stock confirmed its breakout through the prior session high after trading up to $0.72 above it intraday.
Daily Candlestick Chart (MDLZ as at Jul 02, 2020):
Thursday's trading range has been $0.88 (1.72%), that's slightly below the last trading month's daily average range of $1.06. 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 MDLZ.
The share managed to close back above the 50-day moving average at 51.14 for the first time since June 23rd. After spiking up to 52.05 during the day, Mondelez International found resistance at the 100-day moving average at 51.93. The last time this happened on December 6, 2019, MDLZ actually gained 0.61% on the following trading day.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the five market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bearish Bounce off SMA 100" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for Mondelez International. Out of 18 times, MDLZ closed higher 55.56% 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 83.33% with an average market move of 2.08%.