A2M.AX surges 4.04% closing A$0.38 higher
The a2 Milk Company (A2M.AX) Technical Analysis Report for Aug 10, 2018 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, A2M.AX ended the week 1.45% higher at 9.78 after surging A$0.38 (4.04%) today. This is the biggest single day gain in over two months. Today's closing price of 9.78 marks the highest close since July 27th. The bulls were in full control today, moving the market higher throughout the whole session. Closing above Thursday's high at 9.45, the market confirms its breakout through the previous session's high having traded A$0.33 above it intraday. Ending with a strong close near the high of the day sets a bullish note for the next session.
Daily Candlestick Chart (A2M.AX as at Aug 10, 2018):
Friday's trading range was A$0.36 (3.81%), that's far above last trading month's daily average range of A$0.26. Things look different on a weekly scale, where volatility is slightly below the markets average with the monthly volatility being slightly below average.
Breaking through the key resistance level at 9.46 today, it is now likely to act as support going forward. Prices are trading close to the key resistance level at 9.83.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term. The stock managed to break above the 200-day moving average at 9.67 today for the first time since August 3rd.
Buying might accelerate should prices move above the close-by swing high at 9.78 where further buy stops could get activated.