SPG climbs to highest close since June 16th
Simon Property Group Inc. (SPG) Technical Analysis Report for Sep 16, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, SPG ended Wednesday at 74.12 surging $3.05 (4.29%) on high volume, significantly outperforming the S&P 500 (-0.46%). Today's close at 74.12 marks the highest recorded closing price since June 16th. Closing above Tuesday's high at 71.83, the stock confirmed its breakout through the prior session high after trading up to $3.37 above it intraday.
Daily Candlestick Chart (SPG as at Sep 16, 2020):
Wednesday's trading range has been $5.16 (7.26%), that's far above the last trading month's daily average range of $3.03. Weekly volatility is also higher, being above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for SPG.
One bullish candlestick pattern matches today's price action, the White Candle.
After trading down to 70.04 earlier during the day, the share bounced off the key technical support level at 70.82 (S1). The failure to close below the support could increase that levels importance as support going forward. When prices bounced off a significant support level the last time on September 11th, SPG gained 5.69% on the following trading day.
Crossing above the upper Bollinger Band for the first time since August 12th, prices have shown unusually strong upward momentum in the short-term. This might either indicate a potential buying climax after which prices could head back down towards the mean of the Bollinger Bands at 67.88 or signal the beginning of a strong momentum breakout leading to even higher prices.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bounced off Technical Support S1" stand out. Its common bullish interpretation has been confirmed for Simon Property. Out of 458 times, SPG closed higher 56.77% 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 0.52%.