QRVO closes above its opening price after recovering from early selling pressure
Qorvo Inc. (QRVO) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
QRVO finished Thursday at 83.49 gaining $5.75 (7.4%) on low volume, strongly outperforming the S&P 500 (6.24%). Trading up to $2.40 lower after the open, the market managed to reverse during the session as bulls took control ending the day above its opening price. The last time this happened on March 19th, QRVO actually lost -4.06% on the following trading day. Closing above Wednesday's high at 82.36, the stock confirmed its breakout through the prior session high after trading up to $1.44 above it intraday.
Daily Candlestick Chart (QRVO as at Mar 26, 2020):
Thursday's trading range has been $6.81 (8.58%), that's slightly above the last trading month's daily average range of $6.68. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently significantly higher than usual for QRVO.
One bullish candlestick pattern matches today's price action, the White Candle.
After trading down to 76.99 earlier during the day, Qorvo bounced off the key technical support level at 78.53 (S1). The failure to close below the support could increase that levels importance as support going forward. Prices are trading close to the key technical resistance level at 87.04 (R1). After having been unable to move lower than 75.92 in the previous session, the share found buyers again around the same price level today at 76.99.
QRVO shows strength in the short-term supported by its long-term uptrend with only the medium-term trend being bearish.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Closed above last periods high" stand out. Though it is usually interpreted as bullish, it has actually shown to be bearish for Qorvo. Out of 230 times, QRVO closed lower 57.39% of the time on the next trading day after the market condition occurred.