PGR rises to highest close ever
Progressive Corporation (PGR) Technical Analysis Report for Jul 31, 2020 | by Techniquant Editorial Team
PGR ended the month 12.77% higher at 90.34 after gaining $1.82 (2.06%) today on high volume, notably outperforming the S&P 500 (0.77%). Today's close at 90.34 marks the highest recorded closing price ever. The bulls were in full control today, moving the market higher throughout the whole session. Closing above Thursday's high at 89.33, the stock confirmed its breakout through the prior session high after trading up to $1.08 above it intraday.
Daily Candlestick Chart (PGR as at Jul 31, 2020):
Friday's trading range has been $2.30 (2.61%), that's above the last trading month's daily average range of $1.88. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently higher than usual for PGR.
One bullish candlestick pattern matches today's price action, the White Candle. The last time a White Candle showed up on Wednesday, PGR actually lost -0.45% on the following trading day.
Prices are trading close to the key technical resistance level at 90.72 (R1).
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying might speed up should prices move above the close-by swing high at 90.72 where further buy stops could get triggered.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Close to Swing High" stand out. Although it is usually interpreted as neutral, it has actually shown to be bullish for Progressive. Out of 753 times, PGR closed higher 56.31% 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 62.15% with an average market move of 0.72%.