WM rises to highest close since September 6, 2019
Waste Management Inc. (WM) Technical Analysis Report for Jan 15, 2020 | by Techniquant Editorial Team
Moving higher for the 11th day in a row, WM finished Wednesday at 118.22 gaining $0.15 (0.13%), slightly underperforming the S&P 500 (0.19%). Today's close at 118.22 marks the highest recorded closing price since September 6, 2019. Closing within the previous day's range, prices failed to decisively move beyond the prior day's trading range.
Daily Candlestick Chart (WM as at Jan 15, 2020):
Wednesday's trading range has been $1.30 (1.1%), that's slightly above the last trading month's daily average range of $1.15. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently higher than usual for WM.
Three candlestick patterns are matching today's price action, the Gravestone Doji and the Northern Doji which are both known as bearish patterns and one neutral pattern, the Doji. The last time a Gravestone Doji showed up on January 9th, WM actually gained 0.06% on the following trading day.
Unable to break through the key technical resistance level at 118.30 (R1), the stock closed below it after spiking up to 119.15 earlier during the day. The failure to close above the resistance could increase that levels significance going forward.
Crossing below the upper Bollinger Band, prices have lost at least some of their upward momentum in the short-term and might now be heading back down towards the mean of the Bollinger Bands at 114.77.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "11 Consecutive Higher Closes" stand out. Its common bullish interpretation has been confirmed for Waste Management. Out of 1 times, WM closed higher 100.00% 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 eight trading days, showing a win rate of 100.00% with an average market move of 0.49%.