ACHC closes higher for the 3rd day in a row
Acadia Healthcare Company Inc. (ACHC) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, ACHC finished Thursday at 18.06 surging $4.27 (30.96%), notably outperforming the S&P 500 (6.24%). This is the biggest single-day gain in over four years. The bulls were in full control today, moving the market higher throughout the whole session. Closing above Wednesday's high at 14.81, Acadia Healthcare confirmed its breakout through the previous session high after trading up to $3.47 above it intraday.
Daily Candlestick Chart (ACHC as at Mar 26, 2020):
Thursday's trading range has been $4.26 (30.36%), that's far above the last trading month's daily average range of $2.60. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently significantly higher than usual for ACHC.
One bullish candlestick pattern matches today's price action, the White Candle. The last time a White Candle showed up on March 19th, ACHC actually lost -14.24% on the following trading day.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the nine market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Close near high of period" stand out. Its common bullish interpretation has been confirmed for Acadia Healthcare. Out of 564 times, ACHC closed higher 51.60% 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 54.43% with an average market move of 1.34%.