PACW pushes through Wednesday's high
PacWest Bancorp (PACW) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, PACW ended Thursday at 19.68 gaining $1.85 (10.38%) on low volume, strongly outperforming the S&P 500 (6.24%). The bulls were in full control today, moving the market higher throughout the whole session. Closing above Wednesday's high at 18.36, the market confirmed its breakout through the prior session high after trading up to $1.53 above it intraday.
Daily Candlestick Chart (PACW as at Mar 26, 2020):
Thursday's trading range has been $1.88 (10.43%), that's slightly below the last trading month's daily average range of $2.07. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently significantly higher than usual for PACW.
One bullish candlestick pattern matches today's price action, the White Candle. The last time a White Candle showed up on Tuesday, PACW gained 7.28% on the following trading day.
Prices are trading close to the key technical resistance level at 20.99 (R1).
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Decisive Up Move" stand out. Its common bullish interpretation has been confirmed for PacWest Bancorp. Out of 294 times, PACW closed higher 51.02% 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 five trading days, showing a win rate of 54.42% with an average market move of 0.13%.