SNA closes higher for the 4th day in a row
Snap-On Incorporated (SNA) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 4th day in a row, SNA finished the month 6.8% higher at 138.51 after gaining $2.41 (1.77%) today, slightly outperforming the S&P 500 (1.54%). The bulls were in full control today, moving the market higher throughout the whole session. Closing above Monday's high at 137.79, the share confirmed its breakout through the previous session high after trading up to $1.76 above it intraday.
Daily Candlestick Chart (SNA as at Jun 30, 2020):
Tuesday's trading range has been $4.05 (2.99%), that's slightly below the last trading month's daily average range of $4.52. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for SNA.
Two candlestick patterns are matching today's price action, the White Candle which is known as bullish pattern and one bearish pattern, the Last Engulfing Top Pattern. The last time a White Candle showed up on June 26th, SNA gained 1.90% on the following trading day.
Buyers managed to take out the key technical resistance level at 136.56 (now S1), which is likely to act as support going forward. After spiking up to 139.55 during the day, Snap-On Incorporated found resistance at the 20-day moving average at 139.02.
While still in a long-term downtrend, the short and medium-term trends both turned bullish already.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bearish Bounce off SMA 20" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for Snap-On Incorporated. Out of 41 times, SNA closed higher 70.73% 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 63.41% with an average market move of 1.52%.