ABT closes higher for the 2nd day in a row
Abbott Laboratories (ABT) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, ABT finished the month -3.68% lower at 91.43 after gaining $2.42 (2.72%) today, strongly outperforming the S&P 500 (1.54%). Closing above Monday's high at 89.70, the stock confirmed its breakout through the prior session high after trading up to $2.20 above it intraday.
Daily Candlestick Chart (ABT as at Jun 30, 2020):
Tuesday's trading range has been $3.47 (3.87%), that's above the last trading month's daily average range of $2.66. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for ABT.
Two candlestick patterns are matching today's price action, the White Candle which is known as bullish pattern and one bearish pattern, the Bearish Hikkake Pattern.
The share managed to close above the 50-day moving average at 91.34 for the first time since June 10th. When this moving average was crossed above the last time on June 5th, ABT gained 3.00% on the following trading day. Prices are trading close to the key technical resistance level at 93.00 (R1). After having been unable to move lower than 88.09 in the previous session, Abbott Laboratories found buyers again around the same price level today at 88.43.
The market shows strength in the short-term supported by its long-term uptrend with only the medium-term trend being bearish.
As prices are trading close to June's high at 93.96, upside momentum might speed up should ABT mark new highs for the month.
Among the 11 market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bullish Break through SMA 50" stand out. Its common bullish interpretation has been confirmed for Abbott Laboratories. Out of 82 times, ABT closed higher 56.10% 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 69.51% with an average market move of 1.32%.