ACIA runs into sellers around 68.86 for the third day in a row
Acacia Communications Inc. (ACIA) Technical Analysis Report for Feb 14, 2020 | by Techniquant Editorial Team
ACIA finished the week 0.04% higher at 68.82 after gaining $0.10 (0.15%) today, slightly underperforming the S&P 500 (0.18%) ahead of tomorrow's Presidents' Day market holiday. Closing within the previous day's range, prices missed to decisively move beyond the prior day's trading range in a lackluster session.
Daily Candlestick Chart (ACIA as at Feb 14, 2020):
Friday's trading range has been $0.20 (0.29%), that's below the last trading month's daily average range of $0.30. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for ACIA. Prices continued to consolidate within a tight trading range between 68.62 and 69.00 where it has been caught now for the whole last trading week.
One bullish candlestick pattern matches today's price action, the White Candle. The last time a White Candle showed up on February 4th, ACIA actually lost -0.13% on the following trading day.
Acacia Communications ran into sellers again today around 68.86 for the third trading day in a row after having found sellers at 68.86 in the previous session and at 68.90 two days ago.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying might speed up should prices move above the close-by swing high at 69.00 where further buy stops could get activated. Selling might accelerate should prices move below the nearby swing low at 68.64 where further sell stops could get triggered.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Close to Swing Low" stand out. While it is usually interpreted as neutral, it has actually shown to be bullish for Acacia Communications. Out of 339 times, ACIA closed higher 54.28% 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 55.46% with an average market move of 0.42%.