NWL closes above its opening price after recovering from early selling pressure
Newell Brands Inc. (NWL) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, NWL ended the month 20.76% higher at 15.88 after gaining $0.29 (1.86%) today, slightly outperforming the S&P 500 (1.54%). Trading up to $0.22 lower after the open, the share managed to reverse during the session as bulls took control ending the day above its opening price. The last time this happened on June 19th, NWL actually lost -1.39% on the following trading day. Closing above Monday's high at 15.68, Newell Brands confirmed its breakout through the prior session high after trading up to $0.26 above it intraday.
Daily Candlestick Chart (NWL as at Jun 30, 2020):
Tuesday's trading range has been $0.60 (3.86%), that's slightly below the last trading month's daily average range of $0.63. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently lower than usual for NWL.
One bullish candlestick pattern matches today's price action, the White Candle.
Prices are trading close to the key technical resistance level at 15.98 (R1).
Although still in a long-term downtrend, the short and medium-term trends both turned bullish already.
Buying might speed up should prices move above the close-by swing high at 15.96 where further buy stops could get activated.
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 Newell Brands. Out of 542 times, NWL closed higher 53.69% 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 55.35% with an average market move of 0.27%.