R breaks below Thursday's low
Ryder System Inc. (R) Technical Analysis Report for May 22, 2020 | by Techniquant Editorial Team
Moving lower for the 4th day in a row, R finished the week 4.01% higher at 31.10 after edging lower $0.23 (-0.73%) today on low volume, underperforming the Dow Comp. (0.26%) ahead of tomorrow's Memorial Day market holiday. Closing below Thursday's low at 31.23, the share confirmed its breakout through the previous session low after trading up to $0.82 below it intraday.
Daily Candlestick Chart (R as at May 22, 2020):
Friday's trading range has been $1.29 (4.07%), that's below the last trading month's daily average range of $2.06. Weekly volatility is also lower, being way below the market's average weekly trading range. The longer-term, monthly volatility is currently lower than usual for R.
One bullish candlestick pattern matches today's price action, the Last Engulfing Bottom Pattern. The last time a Last Engulfing Bottom Pattern showed up on February 25th, R actually lost -4.49% on the following trading day.
Prices are trading close to the key technical resistance level at 31.80 (R1).
Ryder System shows weakness in the short-term (in accordance with its long-term downtrend) with only the medium-term trend still being bullish.
Among the three market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Closed below last periods low" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for Ryder System. Out of 416 times, R closed higher 52.88% 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 55.05% with an average market move of 0.33%.