PCG finds support at 20-day moving average
Pacific Gas & Electric Co. (PCG) Technical Analysis Report for Oct 09, 2019 | by Techniquant Editorial Team
PCG ended Wednesday at 10.98 edging higher $0.08 (0.73%) on low volume, slightly underperforming the S&P 500 (0.91%). Trading up to $0.23 lower after the open, the market managed to reverse during the session as bulls took control ending the day above its opening price. The last time this happened on October 1st, PCG actually lost -9.49% on the following trading day. Closing within the previous day's range, prices failed to decisively move beyond the prior day's trading range in a lackluster session.
Daily Candlestick Chart (PCG as at Oct 09, 2019):
Wednesday's trading range has been $0.53 (4.86%), that's below the last trading month's daily average range of $0.83. Things look different on the weekly timeframe, where the market's trading range of the last week has been above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for PCG.
One bullish candlestick pattern matches today's price action, the Bullish Spinning Top.
After trading as low as 10.67 during the day, the stock found support at the 20-day moving average at 10.79.
Although Pacific Gas is experiencing a short-term uptrend, this could just be a correction, as both the medium and long-term trends are still bearish.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bounced off Technical Support S1" stand out. Its common bullish interpretation has been confirmed for Pacific Gas. Out of 444 times, PCG closed higher 56.76% 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 eight trading days, showing a win rate of 53.60% with an average market move of -0.36%.