PRI misses to close above 20-day moving average
Primerica Inc. (PRI) Technical Analysis Report for Mar 27, 2020 | by Techniquant Editorial Team
Moving higher for the 5th day in a row, PRI ended the week 44.28% higher at 89.96 after edging higher $1.88 (2.13%) today, significantly outperforming the S&P 500 (-3.37%). Closing above Thursday's high at 88.08, Primerica confirmed its breakout through the prior session high after trading up to $7.01 above it intraday.
Daily Candlestick Chart (PRI as at Mar 27, 2020):
Friday's trading range has been $12.42 (14.85%), that's far above the last trading month's daily average range of $7.49. Weekly volatility is also higher, being way above the market's average weekly trading range. The longer-term, monthly volatility is currently higher than usual for PRI.
One bullish candlestick pattern matches today's price action, the White Candle.
After trading down to 82.67 earlier during the day, the share bounced off the key technical support level at 83.47 (S1). The failure to close below the support could increase that levels importance as support going forward. When prices bounced off a significant support level the last time on Monday, PRI gained 17.93% on the following trading day. After spiking up to 95.09 during the day, the stock found resistance at the 20-day moving average at 92.14.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the five market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "5 Consecutive Higher Closes" stand out. Its common bullish interpretation has been confirmed for Primerica. Out of 47 times, PRI closed higher 51.06% 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 63.83% with an average market move of 0.68%.