WLTW finds support at 20-day moving average
Willis Towers Watson Public Limited Company (WLTW) Technical Analysis Report for Feb 14, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, WLTW finished the week 1.63% higher at 213.67 after gaining $0.87 (0.41%) today, slightly outperforming the S&P 500 (0.18%) ahead of tomorrow's Presidents' Day market holiday. The bulls were in full control today, moving the market higher throughout the whole session. Closing within the prior day's range, prices missed to decisively move beyond the previous day's trading range in a lackluster session.
Daily Candlestick Chart (WLTW as at Feb 14, 2020):
Friday's trading range has been $2.38 (1.12%), that's below the last trading month's daily average range of $3.16. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently higher than usual for WLTW. Prices continued to consolidate within a tight trading range between 211.29 and 214.09 where it has been caught now for the last three trading days.
One bullish candlestick pattern matches today's price action, the White Candle.
After trading as low as 211.29 during the day, the market found support at the 20-day moving average at 211.42. The last time this happened on January 22nd, WLTW gained 1.43% on the following trading day. The share ran into sellers again today around 213.67 for the third trading day in a row after having found sellers at 214.09 in the prior session and at 213.88 two days ago.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying might accelerate should prices move above the close-by swing high at 214.09 where further buy stops could get activated.
Among the nine market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Close near high of period" stand out. Its common bullish interpretation has been confirmed for Willis Towers. Out of 706 times, WLTW closed higher 56.52% 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 56.94% with an average market move of 0.32%.