XRX pushes through Wednesday's high
Xerox Corporation (XRX) Technical Analysis Report for Jul 02, 2020 | by Techniquant Editorial Team
XRX ended Thursday at 15.73 gaining $0.58 (3.83%), strongly outperforming the S&P 500 (0.45%) ahead of tomorrow's Independence Day OBS market holiday. Closing above Wednesday's high at 15.68, Xerox confirmed its breakout through the previous session high after trading up to $0.48 above it intraday.
Daily Candlestick Chart (XRX as at Jul 02, 2020):
Thursday's trading range has been $0.71 (4.59%), that's slightly below the last trading month's daily average range of $0.77. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for XRX.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Selling could accelerate should prices move below the nearby swing low at 15.05 where further sell stops might get triggered. With prices trading close to this year's low at 14.22, downside momentum could speed up should the market break out to new lows for the year.
Among the three market conditions that our pattern recognition engine identified today, the statistics for the Technical Indicators based market condition "RSI(2) above 80" stand out. Its common bearish interpretation has been confirmed for Xerox. Out of 309 times, XRX closed lower 56.31% 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 10 trading days, showing a win rate of 49.19% with an average market move of 0.01%.