SNAP dominated by bulls lifting the market higher throughout the day
Snap Inc. Class A (SNAP) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
Moving higher for the 6th day in a row, SNAP finished Thursday at 11.95 gaining $0.72 (6.41%) on low volume, slightly outperforming the S&P 500 (6.24%). The bulls were in full control today, moving the market higher throughout the whole session. Closing above Wednesday's high at 11.64, Snap confirmed its breakout through the previous session high after trading up to $0.43 above it intraday.
Daily Candlestick Chart (SNAP as at Mar 26, 2020):
Thursday's trading range has been $0.81 (7.16%), that's below the last trading month's daily average range of $0.99. 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 SNAP.
One bullish candlestick pattern matches today's price action, the White Candle.
The stock managed to close above the 20-day moving average at 11.47 for the first time since February 4th. When this moving average was crossed above the last time on February 4th, SNAP actually lost -14.70% on the following trading day.
Though the share is experiencing a short-term uptrend, this could just be a correction, as both the medium and long-term trends are still bearish.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "6 Consecutive Higher Closes" stand out. Its common bullish interpretation has been confirmed for Snap. Out of 5 times, SNAP closed higher 60.00% 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 10 trading days, showing a win rate of 60.00% with an average market move of 16.44%.