TJX closes below its opening price unable to hold early session gains
TJX Companies Inc. (TJX) Technical Analysis Report for Feb 14, 2020 | by Techniquant Editorial Team
Moving higher for the 5th day in a row, TJX finished the week 3.26% higher at 63.38 after edging higher $0.02 (0.03%) today on low volume, slightly underperforming the S&P 500 (0.18%) ahead of tomorrow's Presidents' Day market holiday. Today's close at 63.38 marks the highest recorded closing price ever. Trading $0.25 higher after the open, TJX Companies was unable to hold its gains as the bears took control ending the day below its opening price. The last time this happened on February 7th, TJX actually gained 0.44% on the following trading day. Closing within the prior day's range, prices missed to decisively move beyond the previous day's trading range.
Daily Candlestick Chart (TJX as at Feb 14, 2020):
Friday's trading range has been $0.74 (1.16%), that's slightly below the last trading month's daily average range of $0.85. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently higher than usual for TJX.
Prices are trading close to the key technical support level at 62.85 (S1).
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the three market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Bearish Intraday Reversal" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for TJX Companies. Out of 386 times, TJX closed higher 56.48% 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 65.80% with an average market move of 1.12%.