QCOM pushes through key technical resistance level
QUALCOMM Incorporated (QCOM) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, QCOM finished the month 12.77% higher at 91.21 after gaining $2.20 (2.47%) today, outperforming the Nasdaq 100 (1.96%). Today's close at 91.21 marks the highest recorded closing price since June 8th. The bulls were in full control today, moving the market higher throughout the whole session.
Daily Candlestick Chart (QCOM as at Jun 30, 2020):
Tuesday's trading range has been $2.93 (3.28%), that's slightly above the last trading month's daily average range of $2.48. 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 lower than usual for QCOM.
One bullish candlestick pattern matches today's price action, the White Candle. The last time a White Candle showed up on June 15th, QCOM gained 3.62% on the following trading day.
Buyers managed to take out the key technical resistance level at 89.73 (now S1), which is likely to act as support going forward.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
With prices trading close to this year's high at 96.17, upside momentum might speed up should the share be able to break out to new highs for the year. As prices are trading close to June's high at 92.14, upside momentum could accelerate should QUALCOMM Incorporated mark new highs for the month.
Among the five market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "2 Consecutive Higher Closes" stand out. Its common bullish interpretation has been confirmed for QUALCOMM Incorporated. Out of 327 times, QCOM closed higher 55.05% 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 54.13% with an average market move of 0.61%.