MMM falls to lowest close since May 22nd
3M Company (MMM) Technical Analysis Report for Jul 31, 2020 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, MMM finished the month -3.54% lower at 150.47 after losing $1.65 (-1.08%) today, significantly underperforming the Dow Indu. (0.44%). Today's close at 150.47 marks the lowest recorded closing price since May 22nd. Closing below Thursday's low at 151.36, 3M confirmed its breakout through the prior session low after trading up to $2.56 below it intraday.
Daily Candlestick Chart (MMM as at Jul 31, 2020):
Friday's trading range has been $2.95 (1.94%), that's slightly above the last trading month's daily average range of $2.85. Weekly volatility is also higher, being way above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for MMM.
After trading as low as 148.80 during the day, the share found support at the 100-day moving average at 149.54. The last time this happened on February 7, 2019, MMM actually lost -0.01% on the following trading day.
The stock shows weakness in the short-term (in accordance with its long-term downtrend) with only the medium-term trend still being bullish.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bullish Bounce off SMA 100" stand out. Its common bullish interpretation has been confirmed for 3M. Out of 13 times, MMM closed higher 53.85% 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 76.92% with an average market move of 1.53%.