XRAY pushes through key technical resistance level
DENTSPLY SIRONA Inc. (XRAY) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, XRAY ended Thursday at 39.40 surging $4.40 (12.57%), significantly outperforming the Nasdaq 100 (5.72%). This is the biggest single-day gain in over a year. The bulls were in full control today, moving the market higher throughout the whole session. Closing above Wednesday's high at 36.13, the stock confirmed its breakout through the previous session high after trading up to $3.54 above it intraday.
Daily Candlestick Chart (XRAY as at Mar 26, 2020):
Thursday's trading range has been $4.59 (12.98%), that's far above the last trading month's daily average range of $2.76. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for XRAY.
One bullish candlestick pattern matches today's price action, the White Candle. The last time a White Candle showed up on March 19th, XRAY actually lost -6.52% on the following trading day.
Buyers managed to take out the key technical resistance level at 36.23 (now S1), which is likely to act as support going forward.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the 10 market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Very Strong Up Move" stand out. Although it is usually interpreted as bullish, it has actually shown to be bearish for DENTSPLY SIRONA. Out of 122 times, XRAY closed lower 57.38% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the short side has been after eight trading days, showing a win rate of 53.28% with an average market move of -0.13%.