V closes above its opening price after recovering from early selling pressure
Visa Inc. (V) Technical Analysis Report for Jul 11, 2019 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, V finished Thursday at 180.74 gaining $1.43 (0.8%), slightly underperforming the Dow Indu. (0.85%). Today's close at 180.74 marks the highest recorded closing price ever. Trading up to $0.66 lower after the open, the stock managed to reverse during the session as bulls took control ending the day above its opening price. The last time this happened on July 5th, V actually lost -0.27% on the following trading day. Closing above Wednesday's high at 180.26, the market confirmed its breakout through the previous session high after trading up to $0.68 above it intraday.
Daily Candlestick Chart (V as at Jul 11, 2019):
Thursday's trading range has been $1.48 (0.82%), that's below the last trading month's daily average range of $2.21. 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 slightly lower than usual for V.
With another close above the upper Bollinger Band, prices are confirming their strong upward momentum in the short-term. A drop back into the Bollinger Band on the next trading day while might signal a potential change in momentum that could lead to a correction back down towards the center of the Bollinger Bands at 173.67.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Close near high of period" stand out. Its common bullish interpretation has been confirmed for Visa. Out of 656 times, V closed higher 50.00% 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 57.47% with an average market move of 0.64%.