SEAS pushes through Tuesday's high
SeaWorld Entertainment Inc. (SEAS) Technical Analysis Report for Sep 16, 2020 | by Techniquant Editorial Team
SEAS finished Wednesday at 21.85 surging $0.76 (3.6%), notably outperforming the S&P 500 (-0.46%). This is the biggest single-day gain in over two weeks. Today's close at 21.85 marks the highest recorded closing price since March 4th. Closing above Tuesday's high at 21.72, the share confirmed its breakout through the previous session high after trading up to $0.41 above it intraday.
Daily Candlestick Chart (SEAS as at Sep 16, 2020):
Wednesday's trading range has been $1.01 (4.76%), that's slightly below the last trading month's daily average range of $1.09. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for SEAS.
One bullish candlestick pattern matches today's price action, the White Candle. The last time a White Candle showed up on August 27th, SEAS gained 3.99% on the following trading day.
The stock managed to close back above the 200-day moving average at 21.24. Unable to break through the key technical resistance level at 21.92 (R1), the market closed below it after spiking up to 22.13 earlier during the day. The failure to close above the resistance could increase that levels significance going forward.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying might accelerate should prices move above the close-by swing high at 22.36 where further buy stops could get triggered. Selling might speed up should prices move below the nearby swing low at 20.74 where further sell stops could get activated.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bullish Break through SMA 200" stand out. Its common bullish interpretation has been confirmed for SeaWorld Entertainment. Out of 25 times, SEAS closed higher 64.00% 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 three trading days, showing a win rate of 56.00% with an average market move of 0.27%.