PDCO finds buyers at key support level
Patterson Companies Inc. (PDCO) Technical Analysis Report for Aug 10, 2018 | by Techniquant Editorial Team
PDCO ended the week -8.52% lower at 22.45 after losing $0.15 (-0.66%) today on low volume. Today's closing price of 22.45 marks the lowest close since July 18th. Trading $0.29 higher after the open, the share was unable to hold its gains as the bears took control ending the day below its opening price. Closing below Thursday's low at 22.50, Patterson Companies confirms its breakout through the previous session's low having traded $0.54 below it intraday. Ending the day with an indecisive close, neither buyers nor sellers were able to gain control during the session.
Daily Candlestick Chart (PDCO as at Aug 10, 2018):
Friday's trading range was $0.84 (3.73%), that's slightly below last trading month's daily average range of $0.89. Things look different on a weekly scale, where volatility is way above the markets average with the monthly volatility being slightly above average.
After trading as low as 21.96 during the day, the stock bounced off the key support level at 22.27. The failure to close below the support could increase that levels importance as support going forward. After spiking up to 22.80 during the day, the market found resistance at the 100-day moving average at 22.73.
Although PDCO is currently in a short-term down trend, this might just be a correction, as the medium and long term trends are both positive.