PNW closes higher for the 3rd day in a row
Pinnacle West Capital Corporation (PNW) Technical Analysis Report for Feb 14, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, PNW ended the week 2.42% higher at 100.43 after gaining $0.21 (0.21%) today, slightly outperforming the S&P 500 (0.18%) ahead of tomorrow's Presidents' Day market holiday. Today's close at 100.43 marks the highest recorded closing price ever. Trading up to $0.52 lower after the open, the share managed to reverse during the session as bulls took control ending the day above its opening price. Ending the day with an indecisive close, neither buyers nor sellers were able to gain control during the session.
Daily Candlestick Chart (PNW as at Feb 14, 2020):
Friday's trading range has been $0.86 (0.86%), that's below the last trading month's daily average range of $1.11. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for PNW.
Three candlestick patterns are matching today's price action, the Bearish Doji Star and the Northern Doji which are both known as bearish patterns and one neutral pattern, the Doji. The last time a Bearish Doji Star showed up on February 17, 2017, PNW actually gained 1.36% on the following trading day.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bearish Doji Star" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for Pinnacle West. Out of 10 times, PNW closed higher 60.00% 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 80.00% with an average market move of 2.19%.