WIX runs into sellers again around 298.79
Wix.com Ltd. (WIX) Technical Analysis Report for Jul 10, 2020 | by Techniquant Editorial Team
WIX finished the week 7.84% higher at 294.23 after losing $2.48 (-0.84%) today, notably underperforming the S&P 500 (1.05%). Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range.
Daily Candlestick Chart (WIX as at Jul 10, 2020):
Friday's trading range has been $10.84 (3.65%), that's slightly above the last trading month's daily average range of $10.61. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently significantly higher than usual for WIX.
After trading down to 287.95 earlier during the day, the market bounced off the key technical support level at 288.91 (S1). The failure to close below the support could increase that levels importance as support going forward. After having been unable to move above 299.80 in the prior session, the share ran into sellers again around the same price level today, failing to move higher than 298.79. The last time this happened on June 29th, WIX actually gained 2.61% on the following trading day.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying might speed up should prices move above the nearby swing high at 299.80 where further buy stops could get triggered.
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 Wix. com Ltd.. Out of 268 times, WIX closed higher 58.21% 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 52.61% with an average market move of 1.36%.