XLNX closes within previous day's range after lackluster session
Xilinx Inc. (XLNX) Technical Analysis Report for Jun 29, 2020 | by Techniquant Editorial Team
XLNX ended Monday at 91.96 gaining $0.94 (1.03%), slightly underperforming the Nasdaq 100 (1.14%). Trading up to $0.59 lower after the open, the market managed to reverse during the session as bulls took control ending the day above its opening price. Closing within the previous day's range, prices missed to decisively move beyond the prior day's trading range in a lackluster session.
Daily Candlestick Chart (XLNX as at Jun 29, 2020):
Monday's trading range has been $1.29 (1.41%), that's far below the last trading month's daily average range of $2.34. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently lower than usual for XLNX.
During the whole day, prices traded within the previous day's range, unable to trade above the prior day's high or below the previous day's low forming an Inside Bar. Additionally, two candlestick patterns are matching today's price action, the Bullish Short Candle and the White Candle which are both known as bullish patterns. The last time a White Candle showed up on June 15th, XLNX gained 3.14% on the following trading day.
Prices are trading close to the key technical support level at 90.41 (S1). After having been unable to move lower than 90.41 in the prior session, Xilinx found buyers again around the same price level today at 90.71.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Selling might accelerate should prices move below the nearby swing low at 90.41 where further sell stops could get activated. As prices are trading close to June's low at 88.08, downside momentum might speed up should the stock mark new lows for the month.
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 Xilinx. Out of 542 times, XLNX closed higher 53.87% 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 55.35% with an average market move of 0.81%.