SEE unable to break through key resistance level
Sealed Air Corporation (SEE) Technical Analysis Report for Feb 14, 2020 | by Techniquant Editorial Team
SEE ended the week -5.85% lower at 34.77 after gaining $0.37 (1.08%) today, outperforming the S&P 500 (0.18%) ahead of tomorrow's Presidents' Day market holiday. Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range.
Daily Candlestick Chart (SEE as at Feb 14, 2020):
Friday's trading range has been $1.22 (3.52%), that's above the last trading month's daily average range of $0.96. Weekly volatility is also higher, being way above the market's average weekly trading range. The longer-term, monthly volatility is currently higher than usual for SEE.
One bullish candlestick pattern matches today's price action, the Bullish Spinning Top.
Unable to break through the key technical resistance level at 35.43 (R1), the stock closed below it after spiking up to 35.49 earlier during the day. The failure to close above the resistance could increase that levels importance going forward. After having been unable to move lower than 34.35 in the prior session, Sealed Air found buyers again around the same price level today at 34.27. The last time this happened on Wednesday, SEE actually lost -4.07% on the following trading day.
Crossing above the lower Bollinger Band, prices have lost at least some of their downward momentum in the short-term and might now be heading back up towards the mean of the Bollinger Bands at 36.86.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the five market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bullish Spinning Top" stand out. Its common bullish interpretation has been confirmed for Sealed Air. Out of 229 times, SEE closed higher 55.90% 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 58.08% with an average market move of 0.34%.