VIAC closes lower for the 2nd day in a row
ViacomCBS Inc. (VIAC) Technical Analysis Report for Sep 18, 2020 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, VIAC ended the week 3.01% higher at 30.16 after losing $0.10 (-0.33%) today on high volume, but still outperforming the S&P 500 (-1.12%). Trading up to $0.21 lower after the open, the stock managed to reverse during the session as bulls took control ending the day above its opening price. Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range in a lackluster session.
Daily Candlestick Chart (VIAC as at Sep 18, 2020):
Friday's trading range has been $0.58 (1.93%), that's far below 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 above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for VIAC.
One bullish candlestick pattern matches today's price action, the Bullish Spinning Top.
The share was bought again around 29.90 after having seen lows at 29.90, 29.93 and 29.87 in the last three trading sessions. Obviously there is something going on at that level. The last time this happened on August 19th, VIAC actually lost -2.31% on the following trading day.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "2 Consecutive Lower Closes" stand out. Though it is usually interpreted as bearish, it has actually shown to be bullish for ViacomCBS. Out of 320 times, VIAC closed higher 54.38% 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 55.94% with an average market move of 0.72%.