RJF closes higher for the 2nd day in a row
Raymond James Financial Inc. (RJF) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, RJF ended the month -0.65% lower at 68.83 after gaining $0.43 (0.63%) today, underperforming the S&P 500 (1.54%). Closing within the previous day's range, prices missed to decisively move beyond the prior day's trading range in a lackluster session.
Daily Candlestick Chart (RJF as at Jun 30, 2020):
Tuesday's trading range has been $1.95 (2.88%), that's far below the last trading month's daily average range of $3.25. Weekly volatility is also lower, being way below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for RJF. Prices continued to consolidate within a tight trading range between 65.91 and 69.38 where it has been caught now for the last three trading days.
Three candlestick patterns are matching today's price action, the Bullish Short Candle and the White Candle which are both known as bullish patterns and one bearish pattern, the Bearish Hikkake Pattern. The last time a White Candle showed up on June 25th, RJF actually lost -5.24% on the following trading day.
The share managed to close back above the 50-day moving average at 68.65. Unable to break through the key technical resistance level at 69.26 (R1), the stock closed below it after spiking up to 69.38 earlier during the day. The failure to close above the resistance could increase that levels importance going forward.
The market shows weakness in the short-term (in accordance with its long-term downtrend) with only the medium-term trend still being bullish.
Selling might speed up should prices move below the close-by swing low at 65.91 where further sell stops could get activated.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bullish Short Candle" stand out. Its common bullish interpretation has been confirmed for Raymond James. Out of 102 times, RJF closed higher 60.78% 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 56.86% with an average market move of 0.18%.