PNR closes higher for the 3rd day in a row
Pentair plc. (PNR) Technical Analysis Report for May 22, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, PNR finished the week 8.93% higher at 36.48 after edging higher $0.26 (0.72%) today, slightly outperforming the S&P 500 (0.24%) ahead of tomorrow's Memorial Day market holiday. Today's close at 36.48 marks the highest recorded closing price since March 10th. Trading up to $0.25 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 May 15th, PNR gained 6.48% on the following trading day. Closing above Thursday's high at 36.38, Pentair plc. confirmed its breakout through the prior session high after trading up to $0.13 above it intraday.
Daily Candlestick Chart (PNR as at May 22, 2020):
Friday's trading range has been $0.43 (1.18%), that's far below the last trading month's daily average range of $1.10. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently lower than usual for PNR.
After having been unable to move above 36.38 in the previous session, the stock ran into sellers again around the same price level today, failing to move higher than 36.51.
Though still in a long-term downtrend, the short and medium-term trends both turned bullish already.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Closed above last periods high" stand out. Its common bullish interpretation has been confirmed for Pentair plc.. Out of 412 times, PNR closed higher 50.73% 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 55.34% with an average market move of 0.49%.