WAT closes higher for the 2nd day in a row
Waters Corporation (WAT) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, WAT ended the month -9.73% lower at 180.40 after gaining $3.78 (2.14%) today, outperforming the S&P 500 (1.54%). The bulls were in full control today, moving the market higher throughout the whole session. Closing above Monday's high at 176.82, the stock confirmed its breakout through the previous session high after trading up to $4.69 above it intraday.
Daily Candlestick Chart (WAT as at Jun 30, 2020):
Tuesday's trading range has been $5.07 (2.87%), that's slightly below the last trading month's daily average range of $6.41. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for WAT.
Even with a weak opening the market managed to close above the prior day's open and close, forming a bullish Engulfing Candle. The last time this candlestick pattern showed up on June 18th, WAT actually lost -1.67% on the following trading day. Additionally, one bullish candlestick pattern matches today's price action, the White Candle.
Prices are trading close to the key technical resistance level at 182.05 (R1).
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bullish Engulfing Candle" stand out. Its common bullish interpretation has been confirmed for Waters. Out of 60 times, WAT closed higher 65.00% 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 61.67% with an average market move of 0.96%.