ADSK climbs to highest close since May 21st
Autodesk Inc. (ADSK) Technical Analysis Report for Jul 12, 2019 | by Techniquant Editorial Team
Moving higher for the 4th day in a row, ADSK finished the week 1.14% higher at 174.19 after gaining $0.86 (0.5%) today on low volume, slightly underperforming the Nasdaq 100 (0.59%). Today's close at 174.19 marks the highest recorded closing price since May 21st. Closing within the previous day's range, prices failed to decisively move beyond the prior day's trading range.
Daily Candlestick Chart (ADSK as at Jul 12, 2019):
Friday's trading range has been $3.53 (2.02%), that's slightly below the last trading month's daily average range of $3.59. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for ADSK. Prices continued to consolidate within a tight trading range between 170.93 and 175.28 where it has been caught now for the last three trading days.
One bearish candlestick pattern matches today's price action, the Hanging Man. The last time a Hanging Man showed up on February 26th, ADSK actually gained 0.59% on the following trading day.
Prices are trading close to the key technical resistance level at 174.40 (R1). After having been unable to move above 174.80 in the previous session, the market ran into sellers again around the same price level today, missing to move higher than 174.46.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying could speed up should prices move above the close-by swing high at 175.28 where further buy stops might get triggered. With prices trading close to this year's high at 178.95, upside momentum could accelerate should Autodesk be able to break out to new highs for the year.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "High close to prior High" stand out. Although it is usually interpreted as bearish, it has actually shown to be bullish for Autodesk. Out of 575 times, ADSK closed higher 57.39% 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 57.57% with an average market move of 1.07%.