MDP finds buyers again around 14.84
Meredith Corporation (MDP) Technical Analysis Report for Jun 01, 2020 | by Techniquant Editorial Team
MDP ended Monday at 15.27 gaining $0.33 (2.21%), strongly outperforming the S&P 500 (0.38%). 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 Jun 01, 2020):
Monday's trading range has been $0.92 (6.19%), that's below the last trading month's daily average range of $1.15. 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 MDP.
During the whole day, prices traded within the previous day's range, unable to trade above the prior day's high or below the previous day's low forming an Inside Bar.
After having been unable to move lower than 14.83 in the prior session, Meredith found buyers again around the same price level today at 14.84. The last time this happened on May 28th, MDP actually lost -8.68% on the following trading day.
Although the stock is experiencing a short-term uptrend, this might just be a correction, as both the medium and long-term trends are still bearish.
Selling could accelerate should prices move below the close-by swing low at 14.83 where further sell stops might get activated.
Among the two market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Close to Swing Low" stand out. Though it is usually interpreted as neutral, it has actually shown to be bearish for Meredith. Out of 751 times, MDP closed lower 52.06% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the short side has been after 10 trading days, showing a win rate of 49.40% with an average market move of -0.08%.