VMW rises to highest close since May 29th
Vmware Inc. Class A (VMW) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, VMW finished the month -0.9% lower at 154.86 after gaining $3.87 (2.56%) today, strongly outperforming the S&P 500 (1.54%). Today's close at 154.86 marks the highest recorded closing price since May 29th.
Daily Candlestick Chart (VMW as at Jun 30, 2020):
Tuesday's trading range has been $6.01 (3.95%), that's above the last trading month's daily average range of $4.88. 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 VMW.
After trading down to 150.79 earlier during the day, the market bounced off the key technical support level at 152.00 (S1). The failure to close below the support might increase that levels importance as support going forward. When prices bounced off a significant support level the last time on June 24th, VMW actually lost -2.15% on the following trading day.
While still in a long-term downtrend, the short and medium-term trends both turned bullish already.
With prices trading close to this year's high at 163.17, upside momentum could accelerate should the share be able to break out to new highs for the year.
Among the three market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bounced off Technical Support S1" stand out. Its common bullish interpretation has been confirmed for Vmware. Out of 397 times, VMW closed higher 58.44% 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 54.16% with an average market move of 0.50%.