QRVO breaks below Thursday's low
Qorvo Inc. (QRVO) Technical Analysis Report for Feb 14, 2020 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, QRVO ended the week 0.83% higher at 106.02 after losing $3.15 (-2.89%) today, notably underperforming the S&P 500 (0.18%) ahead of tomorrow's Presidents' Day market holiday. The bears were in full control today, moving the market lower throughout the whole session. Closing below Thursday's low at 108.62, the share confirmed its breakout through the previous session low after trading up to $3.38 below it intraday.
Daily Candlestick Chart (QRVO as at Feb 14, 2020):
Friday's trading range has been $5.12 (4.66%), that's above the last trading month's daily average range of $3.75. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently higher than usual for QRVO.
One bearish candlestick pattern matches today's price action, the Black Candle. The last time a Black Candle showed up on February 7th, QRVO actually gained 0.19% on the following trading day.
Prices are trading close to the key technical support level at 104.67 (S1).
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Selling could speed up should prices move below the close-by swing low at 102.88 where further sell stops might get activated. Trading close to December's low at 100.32 we could see further downside momentum if potential sell stops at the level get triggered.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Black Candle" stand out. While it is usually interpreted as bearish, it has actually shown to be bullish for Qorvo. Out of 259 times, QRVO closed higher 55.98% 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 61.39% with an average market move of 1.54%.