POR loses $0.18 (-0.41%) after posting strong earnings
Portland General Electric Co (POR) Technical Analysis Report for Jul 31, 2020 | by Techniquant Editorial Team
POR finished the month 5.55% higher at 44.13 after losing $0.18 (-0.41%) today on high volume, strongly underperforming the S&P 500 (0.77%) following today's earnings report. Trading $1.48 higher after the open, Portland General was unable to hold its gains as the bears took control ending the day below its opening price. Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range.
Daily Candlestick Chart (POR as at Jul 31, 2020):
POR reported earnings of $0.43 per share before today's market open. With analysts having expected an EPS of $0.34, Portland General Electric Co topped market expectations by 26.5%. The company's last earnings report was released on Feb. 14, 2020, when Portland General Electric Co reported earnings of $0.68 per share meeting market expectations.
Friday's trading range has been $2.11 (4.76%), that's far above the last trading month's daily average range of $1.19. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for POR.
After spiking up to 45.83 during the day, the share has been sold off at those price levels and formed a bearish Pin Bar closing $1.70 below today's high. Additionally, two candlestick patterns are matching today's price action, the Bearish Spinning Top and the Shooting Star which are both known as bearish patterns. The last time a Bearish Spinning Top showed up on July 16th, POR actually gained 2.50% on the following trading day.
Prices are trading close to the key technical support level at 43.47 (S1). After spiking up to 45.83 during the day, the stock found resistance at the 100-day moving average at 45.25.
While still in a long-term downtrend, the short and medium-term trends both turned bullish already.
Among the nine market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bearish Pin Bar" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for Portland General. Out of 5 times, POR 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 nine trading days, showing a win rate of 80.00% with an average market move of 0.75%.