UNM pushes through Friday's high
Unum Group (UNM) Technical Analysis Report for Jun 01, 2020 | by Techniquant Editorial Team
UNM finished Monday at 16.06 gaining $0.91 (6.01%), significantly outperforming the S&P 500 (0.38%). The bulls were in full control today, moving the market higher throughout the whole session. Closing above Friday's high at 15.71, the stock confirmed its breakout through the previous session high after trading up to $0.42 above it intraday.
Daily Candlestick Chart (UNM as at Jun 01, 2020):
Monday's trading range has been $1.17 (7.74%), that's far above the last trading month's daily average range of $0.88. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for UNM.
In a volatile session, prices traded above the prior day's high as well as below the previous day's low, forming a bullish Outside Bar. The last time this happened on May 21st, UNM actually lost -2.32% on the following trading day. Even with a weak opening the market managed to close above the prior day's open and close, forming a bullish Engulfing Candle. Additionally, one bullish candlestick pattern matches today's price action, the White Candle.
After having been unable to move lower than 15.04 in the previous session, Unum Group found buyers again around the same price level today at 14.96.
Though still in a long-term downtrend, the short and medium-term trends both turned bullish already.
Buying could speed up should prices move above the nearby swing high at 17.05 where further buy stops might get triggered. Further buying could move prices higher should the market test May's close-by high at 17.06.
Among the nine market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Close to Swing High" stand out. Although it is usually interpreted as neutral, it has actually shown to be bullish for Unum Group. Out of 774 times, UNM closed higher 54.13% 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 four trading days, showing a win rate of 53.62% with an average market move of 0.10%.