PLNT soars, gaining $1.96 (2.32%) within a single day
Planet Fitness Inc. (PLNT) Technical Analysis Report for Feb 14, 2020 | by Techniquant Editorial Team
PLNT ended the week 4.7% higher at 86.46 after surging $1.96 (2.32%) today, notably outperforming the S&P 500 (0.18%) ahead of tomorrow's Presidents' Day market holiday. This is the biggest single-day gain in over two months. Today's close at 86.46 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 85.13, the share confirmed its breakout through the previous session high after trading up to $1.33 above it intraday.
Daily Candlestick Chart (PLNT as at Feb 14, 2020):
Friday's trading range has been $2.71 (3.21%), that's far above the last trading month's daily average range of $1.44. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently higher than usual for PLNT.
In a volatile session, prices traded above the prior day's high as well as below the previous day's low, forming a bullish Outside Bar. Additionally, two candlestick patterns are matching today's price action, the Bullish Closing Marubozu and the White Candle which are both known as bullish patterns.
After having been unable to move lower than 83.82 in the prior session, the stock found buyers again around the same price level today at 83.75. The last time this happened on Tuesday, PLNT gained 1.84% on the following trading day.
Crossing above the upper Bollinger Band for the first time since Wednesday, prices have shown unusually strong upward momentum in the short-term. This might either indicate a potential buying climax after which prices could head back down towards the mean of the Bollinger Bands at 81.38 or signal the beginning of a strong momentum breakout leading to even higher prices.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the 13 market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bullish Closing Marubozu" stand out. Its common bullish interpretation has been confirmed for Planet Fitness. Out of 6 times, PLNT closed higher 66.67% 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 66.67% with an average market move of 3.27%.