ACC pushes through key technical resistance level
American Campus Communities Inc (ACC) Technical Analysis Report for Sep 16, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, ACC finished Wednesday at 37.50 gaining $0.83 (2.26%), strongly outperforming the S&P 500 (-0.46%). Today's close at 37.50 marks the highest recorded closing price since June 16th. Closing above Tuesday's high at 37.16, American Campus confirmed its breakout through the previous session high after trading up to $0.62 above it intraday.
Daily Candlestick Chart (ACC as at Sep 16, 2020):
Wednesday's trading range has been $1.27 (3.44%), that's above the last trading month's daily average range of $1.05. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for ACC.
Buyers managed to take out the key technical resistance level at 37.49 (now S1), which is likely to act as support going forward. The last time this happened on Monday, ACC gained 0.60% on the following trading day. After spiking up to 37.78 during the day, the market found resistance at the 200-day moving average at 37.61.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Bearish Bounce off SMA 200" stand out. While it is usually interpreted as bearish, it has actually shown to be bullish for American Campus. Out of 19 times, ACC closed higher 57.89% 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 73.68% with an average market move of 1.41%.