AHC finds buyers around 1.51 for the forth day in a row
A.H. Belo Corporation (AHC) Technical Analysis Report for May 22, 2020 | by Techniquant Editorial Team
AHC finished the week 3.97% higher at 1.57 after gaining $0.04 (2.61%) today, strongly outperforming the S&P 500 (0.24%) ahead of tomorrow's Memorial Day market holiday.
Daily Candlestick Chart (AHC as at May 22, 2020):
Friday's trading range has been $0.09 (5.88%), that's slightly below the last trading month's daily average range of $0.12. Weekly volatility is also lower, being way below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for AHC. Prices continued to consolidate within a tight trading range between 1.47 and 1.60 where it has been caught now for the whole last trading week.
In a volatile session, prices traded above the prior day's high as well as below the previous day's low, forming a bullish Outside Bar. In spite of a weak opening the share managed to close above the prior day's open and close, forming a bullish Engulfing Candle. After moving lower in the previous session, the stock managed to close higher but below the prior day's open, forming a bullish Harami Candle. The last time this candlestick pattern showed up on May 4th, AHC actually lost -5.92% on the following trading day.
A. H. Belo managed to close back above the 50-day moving average at 1.55 for the first time since May 13th. The market was bought again around 1.51 after having seen lows at 1.52, 1.52 and 1.52 in the last three trading sessions. Obviously there is something going on at that level.
The trend is clearly bearish, showing an intact downtrend in the short, medium and long-term.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bullish Outside Bar" stand out. Although it is usually interpreted as bullish, it has actually shown to be bearish for A. H. Belo. Out of 94 times, AHC closed lower 57.45% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the short side has been after 10 trading days, showing a win rate of 59.57% with an average market move of -0.66%.