QRVO closes within prior day's range
Qorvo Inc. (QRVO) Technical Analysis Report for Jul 31, 2020 | by Techniquant Editorial Team
QRVO ended the month 15.94% higher at 128.15 after losing $0.52 (-0.4%) today, significantly underperforming the S&P 500 (0.77%). Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range.
Daily Candlestick Chart (QRVO as at Jul 31, 2020):
Friday's trading range has been $5.97 (4.59%), that's far above the last trading month's daily average range of $3.57. Weekly volatility is also higher, being way above the market's average weekly trading range. The longer-term, monthly volatility is currently strongly higher than usual for QRVO.
With another close above the upper Bollinger Band, prices are confirming their strong upward momentum in the short-term. A drop back into the Bollinger Band on the next trading day although might signal a potential change in momentum that could lead to a correction back down towards the center of the Bollinger Bands at 115.45.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the two market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "52 Week High" stand out. Though it is usually interpreted as bullish, it has actually shown to be bearish for Qorvo. Out of 131 times, QRVO closed lower 58.02% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the short side has been after seven trading days, showing a win rate of 46.56% with an average market move of -0.19%.