ZTS dominated by bulls lifting the market higher throughout the day
Zoetis Inc. Class A (ZTS) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, ZTS finished Thursday at 117.91 gaining $9.70 (8.96%), notably outperforming the S&P 500 (6.24%). The bulls were in full control today, moving the market higher throughout the whole session. Closing above Wednesday's high at 112.99, the stock confirmed its breakout through the prior session high after trading up to $5.70 above it intraday.
Daily Candlestick Chart (ZTS as at Mar 26, 2020):
Thursday's trading range has been $9.18 (8.38%), that's slightly above the last trading month's daily average range of $8.25. Weekly volatility is also higher, being way above the market's average weekly trading range. The longer-term, monthly volatility is currently significantly higher than usual for ZTS.
One bullish candlestick pattern matches today's price action, the White Candle. The last time a White Candle showed up on Tuesday, ZTS gained 4.29% on the following trading day.
Buyers managed to take out the key technical resistance level at 112.89 (now S1), which is likely to act as support going forward. Prices are trading close to the key technical resistance level at 121.92 (R1).
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "White Candle" stand out. Its common bullish interpretation has been confirmed for Zoetis. Out of 413 times, ZTS closed higher 52.06% 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 59.32% with an average market move of 0.73%.