ACM closes within prior day's range after lackluster session
AECOM (ACM) Technical Analysis Report for Aug 07, 2020 | by Techniquant Editorial Team
ACM finished the week 6.47% higher at 38.53 after gaining $0.22 (0.57%) today, outperforming the S&P 500 (0.06%). Trading up to $0.28 lower after the open, the stock managed to reverse during the session as bulls took control ending the day above its opening price. The last time this happened on July 30th, ACM actually lost -1.87% on the following trading day. Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range in a lackluster session.
Daily Candlestick Chart (ACM as at Aug 07, 2020):
Friday's trading range has been $0.79 (2.07%), that's below the last trading month's daily average range of $0.92. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for ACM. Prices continued to consolidate within a tight trading range between 37.85 and 39.08 where it has been caught now for the last three trading days.
One bullish candlestick pattern matches today's price action, the White Candle.
The market managed to close back above the 50-day moving average at 38.33. Prices are trading close to the key technical resistance level at 39.25 (R1).
AECOM shows strength in the short-term supported by its long-term uptrend with only the medium-term trend being bearish.
Buying might speed up should prices move above the nearby swing high at 39.25 where further buy stops could get activated.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "White Candle" stand out. Its common bullish interpretation has been confirmed for AECOM. Out of 597 times, ACM closed higher 51.42% 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 54.44% with an average market move of 0.69%.