MDP pops to highest close since April 29th
Meredith Corporation (MDP) Technical Analysis Report for May 22, 2020 | by Techniquant Editorial Team
Moving higher for the 6th day in a row, MDP finished the week 29.3% higher at 14.96 after edging higher $0.09 (0.61%) today, slightly outperforming the S&P 500 (0.24%) ahead of tomorrow's Memorial Day market holiday. Today's close at 14.96 marks the highest recorded closing price since April 29th. Closing within the previous day's range, prices failed to decisively move beyond the prior day's trading range in a lackluster session.
Daily Candlestick Chart (MDP as at May 22, 2020):
Friday's trading range has been $0.58 (3.86%), that's far below the last trading month's daily average range of $1.19. 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 MDP. Prices continued to consolidate within a tight trading range between 14.15 and 15.18 where it has been caught now for the last three trading days.
One bearish candlestick pattern matches today's price action, the Bearish Spinning Top.
Prices are trading close to the key technical resistance level at 15.68 (R1). After having been unable to move lower than 14.52 in the previous session, the share found buyers again around the same price level today at 14.60. The last time this happened on May 11th, MDP actually lost -9.05% on the following trading day.
Though the market is experiencing a short-term uptrend, this might just be a correction, as both the medium and long-term trends are still bearish.
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. Its common bearish interpretation has been confirmed for Meredith. Out of 209 times, MDP closed lower 55.98% of the time on the next trading day after the market condition occurred.