SWK pushes through Tuesday's high
Stanley Black & Decker Inc. (SWK) Technical Analysis Report for Aug 05, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, SWK finished Wednesday at 157.30 gaining $2.65 (1.71%), notably outperforming the S&P 500 (0.64%). Closing above Tuesday's high at 155.96, the market confirmed its breakout through the prior session high after trading up to $1.93 above it intraday.
Daily Candlestick Chart (SWK as at Aug 05, 2020):
Wednesday's trading range has been $2.48 (1.59%), that's below the last trading month's daily average range of $3.93. 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 SWK.
Two candlestick patterns are matching today's price action, the Bullish Short Candle and the White Candle which are both known as bullish patterns. The last time a Bullish Short Candle showed up on July 10th, SWK gained 1.52% on the following trading day.
Prices are trading close to the key technical support level at 154.42 (S1).
The trend is clearly bullish, showing an intact uptrend 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 "White Candle" stand out. Its common bullish interpretation has been confirmed for Stanley Black. Out of 577 times, SWK closed higher 51.13% 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 56.85% with an average market move of 0.46%.