PEG closes within prior day's range after lackluster session
Public Service Enterprise Group Incorporated (PEG) Technical Analysis Report for May 22, 2020 | by Techniquant Editorial Team
PEG finished the week 5.85% higher at 48.12 after edging higher $0.05 (0.1%) today on low volume, slightly underperforming the S&P 500 (0.24%) ahead of tomorrow's Memorial Day market holiday. 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 (PEG as at May 22, 2020):
Friday's trading range has been $0.51 (1.06%), that's far below the last trading month's daily average range of $1.59. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for PEG.
Two candlestick patterns are matching today's price action, the Northern Doji which is known as bearish pattern and one neutral pattern, the Doji. The last time a Doji showed up on January 24th, PEG lost -2.01% on the following trading day.
The market shows weakness in the short-term (in accordance with its long-term downtrend) with only the medium-term trend still being bullish.
Buying might accelerate should prices move above the close-by swing high at 49.56 where further buy stops could get triggered. As prices are trading close to May's high at 50.36, upside momentum might speed up should Public Service mark new highs for the month.
Among the five market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Doji" stand out. Although it is usually interpreted as neutral, it has actually shown to be bullish for Public Service. Out of 140 times, PEG closed higher 50.00% 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 60.00% with an average market move of 0.37%.