WBS finds buyers around 19.80 for the third day in a row
Webster Financial Corporation (WBS) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
WBS ended Thursday at 21.98 gaining $1.80 (8.92%) on high volume, strongly outperforming the S&P 500 (6.24%). Closing above Wednesday's high at 21.94, the market confirmed its breakout through the previous session high after trading up to $0.55 above it intraday.
Daily Candlestick Chart (WBS as at Mar 26, 2020):
Thursday's trading range has been $2.69 (13.14%), that's slightly below the last trading month's daily average range of $2.91. Weekly volatility is also lower, being way below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for WBS.
One bullish candlestick pattern matches today's price action, the White Candle. The last time a White Candle showed up on Tuesday, WBS actually lost -2.18% on the following trading day.
The share found buyers again today around 19.80 for the third trading day in a row after having found demand at 19.65 in the prior session and at 19.49 two days ago.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the seven market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Low close to previous low" stand out. Its common bullish interpretation has been confirmed for Webster Financial. Out of 540 times, WBS closed higher 52.78% 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 55.37% with an average market move of 0.85%.