PCAR breaks back above 20-day moving average
PACCAR Inc. (PCAR) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, PCAR ended the month 1.34% higher at 74.85 after gaining $1.17 (1.59%) today, slightly underperforming the Nasdaq 100 (1.96%). The bulls were in full control today, moving the market higher throughout the whole session. Closing above Monday's high at 74.48, the share confirmed its breakout through the prior session high after trading up to $0.76 above it intraday.
Daily Candlestick Chart (PCAR as at Jun 30, 2020):
Tuesday's trading range has been $2.33 (3.19%), that's above the last trading month's daily average range of $1.96. Things look different on the weekly timeframe, where the market's trading range of the last week has been below the market's average weekly trading range. The longer-term, monthly volatility is currently lower than usual for PCAR.
One bullish candlestick pattern matches today's price action, the White Candle. The last time a White Candle showed up on June 25th, PCAR actually lost -1.11% on the following trading day.
The market managed to close back above the 20-day moving average at 74.84 for the first time since June 19th.
Although still in a long-term downtrend, the short and medium-term trends both turned bullish already.
Buying might accelerate should prices move above the close-by swing high at 75.81 where further buy stops could get activated.
Among the nine 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 PACCAR. Out of 286 times, PCAR closed higher 51.75% 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 54.90% with an average market move of 0.66%.