ROP closes within prior day's range after lackluster session
Roper Technologies Inc. (ROP) Technical Analysis Report for May 22, 2020 | by Techniquant Editorial Team
ROP finished the week 1.54% higher at 367.06 after gaining $2.00 (0.55%) today on low volume, slightly outperforming the S&P 500 (0.24%) ahead of tomorrow's Memorial Day market holiday. Trading up to $1.67 lower after the open, Roper Technologies managed to reverse during the session as bulls took control ending the day above its opening price. Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range in a lackluster session.
Daily Candlestick Chart (ROP as at May 22, 2020):
Friday's trading range has been $4.16 (1.14%), that's far below the last trading month's daily average range of $10.43. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for ROP. Prices continued to consolidate within a tight trading range between 361.66 and 370.96 where it has been caught now for the last three trading days.
Four candlestick patterns are matching today's price action, the Bullish Hikkake Pattern, the Bullish Short Candle and the White Candle which are known as bullish patterns and one bearish pattern, the Last Engulfing Top Pattern. The last time a Last Engulfing Top Pattern showed up on May 11th, ROP lost -1.96% on the following trading day.
After having been unable to move lower than 363.62 in the prior session, the market found buyers again around the same price level today at 362.94.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying could speed up should prices move above the nearby swing high at 370.96 where further buy stops might get activated. Selling could accelerate should prices move below the close-by swing low at 357.75 where further sell stops might get triggered.
Among the 10 market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bullish Hikkake Pattern" stand out. Its common bullish interpretation has been confirmed for Roper Technologies. Out of 107 times, ROP closed higher 60.75% 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 71.03% with an average market move of 1.74%.