XRX closes above its opening price after recovering from early selling pressure
Xerox Corporation (XRX) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
XRX finished the month -3.72% lower at 15.29 after edging lower $0.01 (-0.07%) today, significantly underperforming the S&P 500 (1.54%). Trading up to $0.18 lower after the open, the share 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 failed to decisively move beyond the prior day's trading range in a lackluster session.
Daily Candlestick Chart (XRX as at Jun 30, 2020):
Tuesday's trading range has been $0.50 (3.27%), that's far below the last trading month's daily average range of $0.78. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for XRX. Prices continued to consolidate within a tight trading range between 14.76 and 15.60 where it has been caught now for the last three trading days.
Two candlestick patterns are matching today's price action, the Southern Doji which is known as bullish pattern and one neutral pattern, the Doji. The last time a Doji showed up on June 2nd, XRX gained 4.30% on the following trading day.
Prices are trading close to the key technical support level at 15.01 (S1).
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Selling might speed up should prices move below the nearby swing low at 14.76 where further sell stops could get triggered. With prices trading close to this year's low at 14.22, downside momentum might accelerate should the market break out to new lows for the year.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Bullish Intraday Reversal" stand out. Its common bullish interpretation has been confirmed for Xerox. Out of 431 times, XRX closed higher 51.51% 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 56.38% with an average market move of 0.45%.