TPR closes higher for the 3rd day in a row
Coach Inc. (TPR) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, TPR finished Thursday at 15.16 gaining $0.26 (1.74%), strongly underperforming the S&P 500 (6.24%). Trading up to $0.67 lower after the open, Coach managed to reverse during the session as bulls took control ending the day above its opening price. Closing within the previous day's range, prices missed to decisively move beyond the prior day's trading range.
Daily Candlestick Chart (TPR as at Mar 26, 2020):
Thursday's trading range has been $1.78 (12.12%), that's slightly above the last trading month's daily average range of $1.75. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for TPR.
One bullish candlestick pattern matches today's price action, the Bullish Spinning Top.
Prices are trading close to the key technical support level at 13.95 (S1). After having been unable to move above 15.67 in the previous session, the share ran into sellers again around the same price level today, failing to move higher than 15.80. The last time this happened on March 18th, TPR lost -4.87% on the following trading day.
Although the stock 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 four market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Bullish Intraday Reversal" stand out. Though it is usually interpreted as bullish, it has actually shown to be bearish for Coach. Out of 415 times, TPR closed lower 54.46% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the short side has been after 10 trading days, showing a win rate of 50.84% with an average market move of -0.62%.