ADSK pushes through key technical resistance level
Autodesk Inc. (ADSK) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
Moving higher for the 3rd day in a row, ADSK ended Thursday at 160.88 gaining $10.89 (7.26%), significantly outperforming the Nasdaq 100 (5.72%). The bulls were in full control today, moving the market higher throughout the whole session. Closing above Wednesday's high at 154.97, the market confirmed its breakout through the previous session high after trading up to $8.18 above it intraday.
Daily Candlestick Chart (ADSK as at Mar 26, 2020):
Thursday's trading range has been $12.50 (8.29%), that's slightly below the last trading month's daily average range of $13.56. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently higher than usual for ADSK.
One bullish candlestick pattern matches today's price action, the White Candle. The last time a White Candle showed up on March 13th, ADSK actually lost -6.30% on the following trading day.
Buyers managed to take out the key technical resistance level at 158.17 (now S1), which is likely to act as support going forward. After spiking up to 163.15 during the day, Autodesk found resistance at the 20-day moving average at 161.56.
The share shows strength in the short-term supported by its long-term uptrend with only the medium-term trend being bearish.
Among the nine market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Price broke through Technical Resistance R1" stand out. Its common bullish interpretation has been confirmed for Autodesk. Out of 221 times, ADSK closed higher 51.58% 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 57.01% with an average market move of 1.10%.