AMLP pushes through Monday's high
Alerian MLP (AMLP) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
AMLP finished the month -7.98% lower at 24.68 after gaining $0.48 (1.98%) today. Trading up to $0.28 lower after the open, the market managed to reverse during the session as bulls took control ending the day above its opening price. Closing above Monday's high at 24.66, Alerian MLP confirmed its breakout through the prior session high after trading up to $0.07 above it intraday.
Daily Candlestick Chart (AMLP as at Jun 30, 2020):
Tuesday's trading range has been $0.84 (3.48%), that's below the last trading month's daily average range of $1.26. 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 AMLP. Prices continued to consolidate within a tight trading range between 23.89 and 25.33 where it has been caught now for the last three trading days.
In a volatile session, prices traded above the previous day's high as well as below the prior day's low, forming a bullish Outside Bar. Regardless of a weak opening the ETF managed to close above the previous day's open and close, forming a bullish Engulfing Candle. Additionally, one bullish candlestick pattern matches today's price action, the White Candle.
Buyers managed to take out the key technical resistance level at 24.40 (now S1), which is likely to act as support going forward. AMLP found buyers again today around 23.89 for the third trading day in a row after having found demand at 24.01 in the prior session and at 24.04 two days ago. The last time this happened on May 12th, AMLP actually lost -3.56% on the following trading day.
The market shows weakness in the short-term (in accordance with its long-term downtrend) with only the medium-term trend still being bullish.
Among the 11 market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bullish Outside Bar" stand out. Its common bullish interpretation has been confirmed for Alerian MLP. Out of 60 times, AMLP closed higher 60.00% of the time on the next trading day after the market condition occurred.