MPC pushes through Friday's high
Marathon Petroleum Corporation (MPC) Technical Analysis Report for Jun 01, 2020 | by Techniquant Editorial Team
MPC ended Monday at 36.50 gaining $1.36 (3.87%), strongly outperforming the S&P 500 (0.38%). Trading up to $0.90 lower after the open, the stock managed to reverse during the session as bulls took control ending the day above its opening price. The last time this happened on May 29th, MPC gained 3.87% on the following trading day. Closing above Friday's high at 35.43, the share confirmed its breakout through the prior session high after trading up to $1.40 above it intraday.
Daily Candlestick Chart (MPC as at Jun 01, 2020):
Monday's trading range has been $2.48 (7.04%), that's above the last trading month's daily average range of $2.07. 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 MPC.
One bullish candlestick pattern matches today's price action, the White Candle.
After having been unable to move lower than 34.11 in the previous session, the market found buyers again around the same price level today at 34.35.
Though still in a long-term downtrend, the short and medium-term trends both turned bullish already.
Buying might accelerate should prices move above the nearby swing high at 37.94 where further buy stops could get activated. Selling might speed up should prices move below the close-by swing low at 34.11 where further sell stops could get triggered.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Up Close near high of period" stand out. Its common bullish interpretation has been confirmed for Marathon Petroleum. Out of 457 times, MPC closed higher 52.95% 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 58.86% with an average market move of 1.06%.