Tradeweb Markets Jumps 5.65% On Heavy Volume As Technicals Flash Bullish Signals

Tradeweb Markets (TW) surged 5.65% to $146.12 in the latest session, marking its second consecutive daily gain with a two-day advance of 6.04%, propelled by exceptionally high volume of 3.13 million shares. This price action prompts a multi-faceted technical assessment using classical methodologies to evaluate the trend sustainability and potential inflection points.
Candlestick Theory
The recent session formed a decisive bullish marubozu-like candle with a close near the high ($147.49) after testing support near $137.62. This follows a hammer pattern on July 29 (low of $136.6) and a doji on July 28, collectively signaling accumulation after a pullback. Resistance is evident at the yearly high of $152.65 (April 3), while the $136.50-$137.60 zone has emerged as key near-term support, reinforced by multiple tests since late June.
Moving Average Theory
The current price trades decisively above all major moving averages (50D ~ $138.50, 100D ~ $135.80, 200D ~ $130.30) with the 50D serving as dynamic support during July's consolidation. Significantly, the 50D crossed above the 200D in Q1 2025, establishing a "golden cross" that remains intact. The ascending alignment of shorter averages above longer ones (50 > 100 > 200) confirms a primary bullish trend.
MACD & KDJ Indicators
The MACD histogram has turned positive after a July 24 bullish crossover, with both lines accelerating above zero – signaling regained momentum. KDJ readings (K: 85, D: 76, J: 92) reflect overbought territory after the surge, though J-line divergence suggests near-term exhaustion potential. While MACD supports continuation strength, KDJ implies increased pullback probability if the K-line rolls over from extreme levels.
Bollinger Bands
Price pierced the upper Bollinger Band ($142.80) on July 30 during band expansion – a volatility breakout typically confirming directional strength. The 20-period average ($140) now provides immediate support. The bandwidth contraction preceding the breakout (seen in late July) amplified the magnitude of the move, suggesting follow-through potential toward the $150 psychological level if volatility persists.
Volume-Price Relationship
The breakout occurred on the highest volume since April, exceeding the 20-day average by 215%, validating the bullish move. Notably, the prior resistance test on July 1 ($146.40) recorded even higher volume (2.2M shares) during rejection, making the current volume-backed clearance of this level technically significant. Accumulation patterns are visible as pullbacks to $137 consistently occur on diminishing volume.
Relative Strength Index
The 14-day RSI (78) entered overbought territory after the surge, approaching the extreme levels seen at the April peak. While indicating stretched momentum, its warning nature is amplified by its departure from the price consolidation base. Sustained trade above 70 would suggest strength, but history shows reversals typically occur within 5 sessions when RSI exceeds 80 in this security.
Fibonacci Retracement
Using the swing low of $104.99 (August 2024) and high of $152.65 (April 2025), key retracement levels are: $141.40 (23.6%), $134.44 (38.2%), and $128.82 (50%). The recent consolidation respected the 38.2% level, and the breakout above 23.6% ($141.40) has now converted this into support. The advance positions price to retest the 0% resistance at $152.65, with the 138.2% extension at $161.30 as an upside target.
Confluence and Divergence Assessment
Significant confluence exists between the $141.40 Fibonacci level, the 50D MA ($138.50), and the Bollinger midline ($140), creating a robust support cluster should profit-taking emerge. The MACD/volume alignment supports trend continuation, while RSI/KDJ overbought readings exhibit minor divergence with price – warranting caution near the $152.65 yearly high. However, the decisive clearance of the $146.40 volume resistance on amplified participation tilts probabilities toward upside resolution after potential consolidation.