NDAQ closes higher for the 2nd day in a row
Nasdaq Inc. (NDAQ) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, NDAQ finished the month 0.85% higher at 119.47 after gaining $1.92 (1.63%) today, slightly outperforming the S&P 500 (1.54%). The bulls were in full control today, moving the market higher throughout the whole session. Closing above Monday's high at 117.68, the share confirmed its breakout through the prior session high after trading up to $2.30 above it intraday.
Daily Candlestick Chart (NDAQ as at Jun 30, 2020):
Tuesday's trading range has been $3.24 (2.77%), that's slightly above the last trading month's daily average range of $3.17. 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 NDAQ.
Two candlestick patterns are matching today's price action, the White Candle which is known as bullish pattern and one bearish pattern, the Bearish Hikkake Pattern.
The market managed to close back above the 20-day moving average at 118.21. When this moving average was crossed above the last time on June 25th, NDAQ actually lost -2.42% on the following trading day.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
With prices trading close to this year's high at 122.15, upside momentum might accelerate should the stock be able to break out to new highs for the year.
Among the nine market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "2 Consecutive Higher Closes" stand out. Its common bullish interpretation has been confirmed for Nasdaq. Out of 322 times, NDAQ closed higher 54.35% 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 60.25% with an average market move of 0.98%.