PXD closes higher for the 2nd day in a row
Pioneer Natural Resources Company (PXD) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, PXD ended the month 6.66% higher at 97.70 after gaining $3.26 (3.45%) today on low volume, notably outperforming the S&P 500 (1.54%). The bulls were in full control today, moving the market higher throughout the whole session. Closing above Monday's high at 95.32, the market confirmed its breakout through the prior session high after trading up to $2.81 above it intraday.
Daily Candlestick Chart (PXD as at Jun 30, 2020):
Tuesday's trading range has been $4.86 (5.21%), that's slightly above the last trading month's daily average range of $4.73. Things look different on the weekly timeframe, where the market's trading range of the last week has been below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for PXD. Prices continued to consolidate within a tight trading range between 91.02 and 98.13 where it has been caught now for the whole last trading week.
In a volatile session, prices traded above the previous day's high as well as below the prior day's low, forming a bullish Outside Bar. The last time this happened on June 25th, PXD actually lost -3.67% on the following trading day. Even with a weak opening Pioneer Natural managed to close above the previous day's open and close, forming a bullish Engulfing Candle. Additionally, one bullish candlestick pattern matches today's price action, the White Candle.
The stock found buyers again today around 93.27 for the third trading day in a row after having found demand at 93.39 in the prior session and at 93.54 two days ago.
Although still in a long-term downtrend, the short and medium-term trends both turned bullish already.
As prices are trading close to June's low at 90.50, downside momentum could accelerate should the share mark new lows for the month.
Among the 10 market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bullish Engulfing Candle" stand out. Its common bullish interpretation has been confirmed for Pioneer Natural. Out of 60 times, PXD closed higher 65.00% 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 55.00% with an average market move of 0.77%.