SJM closes higher for the 2nd day in a row
J.M. Smucker Company (SJM) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, SJM ended the month -7.13% lower at 105.81 after gaining $0.73 (0.69%) today, underperforming the S&P 500 (1.54%). Trading up to $0.94 lower after the open, the share 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 (SJM as at Jun 30, 2020):
Tuesday's trading range has been $1.30 (1.23%), that's far below the last trading month's daily average range of $2.93. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for SJM.
During the whole day, prices traded within the prior day's range, unable to trade above the previous day's high or below the prior day's low forming an Inside Bar. Additionally, two candlestick patterns are matching today's price action, the Takuri Line which is known as bullish pattern and one neutral pattern, the Doji. The last time a Takuri Line showed up on March 13th, SJM gained 4.65% on the following trading day.
Prices are trading close to the key technical resistance level at 107.09 (R1).
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Buying might speed up should prices move above the nearby swing high at 107.09 where further buy stops could get activated.
Among the five market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Bullish Intraday Reversal" stand out. Its common bullish interpretation has been confirmed for J. M. Smucker. Out of 496 times, SJM closed higher 53.02% 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 two trading days, showing a win rate of 54.03% with an average market move of 0.10%.