TPR breaks back above 50-day moving average
Coach Inc. (TPR) Technical Analysis Report for Jul 23, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, TPR finished Thursday at 13.87 gaining $0.17 (1.24%) on high volume, significantly outperforming the S&P 500 (-1.23%). Trading up to $0.20 lower after the open, the market managed to reverse during the session as bulls took control ending the day above its opening price. Closing above Wednesday's high at 13.84, Coach confirmed its breakout through the previous session high after trading up to $0.23 above it intraday.
Daily Candlestick Chart (TPR as at Jul 23, 2020):
Thursday's trading range has been $0.59 (4.31%), that's slightly below the last trading month's daily average range of $0.64. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently lower than usual for TPR.
Two candlestick patterns are matching today's price action, the Bullish Spinning Top which is known as bullish pattern and one bearish pattern, the Bearish Hikkake Pattern.
The share managed to close back above the 50-day moving average at 13.87 for the first time since July 16th. Unable to break through the key technical resistance level at 14.06 (R1), the stock closed below it after spiking up to 14.07 earlier during the day. The failure to close above the resistance could increase that levels significance going forward. When prices bounced off a significant resistance level the last time on July 16th, TPR lost -2.71% on the following trading day.
Though still in a long-term downtrend, the short and medium-term trends both turned bullish already.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bullish Break through SMA 50" stand out. Its common bullish interpretation has been confirmed for Coach. Out of 89 times, TPR closed higher 59.55% of the time on the next trading day after the market condition occurred.